Thai Airlines, which has been struggling to make ends meet for a very long time now, has decided to sell 62 airplanes and cut down nearly a third of its staff to make the organisation lean, as part of the restructuring process. The Airline is going through a bankruptcy restructuring process. Thai Airlines has been losing money and bearing losses since 2012. The head of the restricting committee said that currently Thai Airlines, which employs nearly 21,300 people, is going to cut its staff down to 14,500 by December 2022.
After the sale of the jets, the airlines will have only 58 airplanes across four types. The aviation company also has 16 aircraft on lease and is planning to return them all.
As per the reports, Thai Airlines will be requesting a 25 billion baht ($749.18 million) credit agreement through financial institutions to maintain the cash flow and an additional 25 billion baht will be provided to by the government. The Airline is still in talks with the government to get the extra cash credit.
The airlines had plans to increase flights from Europe as the travel industry is set to be on a recovery path in the next few months. Thailand has also lifted restrictions for vaccinated tourists to enter the country.
($1 = 33.3700 baht)
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