Emirates Group, which includes the world's biggest airline by international traffic, has offered its staff the option of taking voluntary leave, joining global carriers in taking measures to address the slide in air traffic demand due to the coronavirus outbreak.
The company asked employees at its 100,000-strong group to consider taking paid and unpaid leave, according to an internal memo seen by The National.
"A particular challenge for us right now is dealing with the impact of Covid-19," the March 1 email said. "We've seen a measurable slow-down in business across our brands and a need for flexibility in the way we work."
The virus has spread to more than 60 countries, prompting the World Health Organisation to raise its risk assessment to its highest level.
Global airlines are forecast to lose an estimated $29.3 billion (Dh107.6bn) in revenue this year, 5 per cent lower than forecast in December, due to an estimated 4.7 per cent decline in travel demand, the International Air Transport Association said in an initial assessment of the coronavirus impact.
Emirates Group, which includes airport services unit Dnata, asked employees who have "accrued a significant balance of annual leave" to consider taking paid leave.
It also offered voluntary unpaid leave to employees in non-operational roles. This option may also become available to staff in operational roles.
"In all cases we strongly encourage you to take up this opportunity if you have the support and approval of your line manager," the email said.
Reuters first reported news of the memo earlier on Sunday.
The move comes after Emirates halted all fights to China, except Beijing, and Iran, based on directives from the UAE General Civil Aviation Authority because of the spread of coronavirus in those countries.
Other airlines have also taken measures in response to the drop in air travel demand. Hong Kong's Cathay Pacific said about 25,000 staff in the group agreed to take unpaid leave through a Special Leave Scheme as its "business challenges remain acute".
Hong Kong Airlines axed 400 jobs and asked staff to take two weeks of unpaid leave per month or switch to three-day weeks. China Southern Airlines asked its pilots to take mandatory indefinite no-pay leave. Singapore Airlines has also been forced to cut its flight schedule.
Many airlines and hotel groups have also warned of a hit to their earnings as the outbreak led to fewer bookings and more event cancellations.
Heightened concern about the spread of the coronavirus has prompted companies and governments to cancel global events, such as Germany's ITB Tourism Fair in Berlin scheduled this month, to protect employees -- further denting corporate travel bookings. The world's biggest property fair, Mipim, yesterday postponed its annual gathering in Cannes, which was due to take place next week.
The deadly virus could wipe out $559.7bn annually from spending on corporate travel this year, which is 37 per cent of the industry's total global expenditure forecast, according to US-based Global Business Travel Association (GBTA).
A poll of GBTA's members showed that nearly two-thirds have cancelled at least a “few” meetings or events while 95 per cent suspended or cancelled “most” or “all” business trips to China. A quarter of respondents said their company cancelled or suspended at least some trips to European countries such as Italy, Germany, and France.
The virus is "fundamentally affecting" the way many companies are now doing business, Scott Solombrino, GBTA’s chief operating officer and executive director, said.
"If this turns into a global pandemic, the industry may well lose billions of dollars — an impact that will have negative ramifications for the entire global economy," he said.
UAE currency: the story behind the money in your pockets
More from Neighbourhood Watch:
COMPANY PROFILE
Name: HyperSpace
Started: 2020
Founders: Alexander Heller, Rama Allen and Desi Gonzalez
Based: Dubai, UAE
Sector: Entertainment
Number of staff: 210
Investment raised: $75 million from investors including Galaxy Interactive, Riyadh Season, Sega Ventures and Apis Venture Partners
The National's picks
4.35pm: Tilal Al Khalediah
5.10pm: Continous
5.45pm: Raging Torrent
6.20pm: West Acre
7pm: Flood Zone
7.40pm: Straight No Chaser
8.15pm: Romantic Warrior
8.50pm: Calandogan
9.30pm: Forever Young
Company Profile
Name: Thndr
Started: 2019
Co-founders: Ahmad Hammouda and Seif Amr
Sector: FinTech
Headquarters: Egypt
UAE base: Hub71, Abu Dhabi
Current number of staff: More than 150
Funds raised: $22 million
If you go
The flights
There are direct flights from Dubai to Sofia with FlyDubai (www.flydubai.com) and Wizz Air (www.wizzair.com), from Dh1,164 and Dh822 return including taxes, respectively.
The trip
Plovdiv is 150km from Sofia, with an hourly bus service taking around 2 hours and costing $16 (Dh58). The Rhodopes can be reached from Sofia in between 2-4hours.
The trip was organised by Bulguides (www.bulguides.com), which organises guided trips throughout Bulgaria. Guiding, accommodation, food and transfers from Plovdiv to the mountains and back costs around 170 USD for a four-day, three-night trip.
Springsteen: Deliver Me from Nowhere
Director: Scott Cooper
Starring: Jeremy Allen White, Odessa Young, Jeremy Strong
Rating: 4/5
WHAT IS A BLACK HOLE?
1. Black holes are objects whose gravity is so strong not even light can escape their pull
2. They can be created when massive stars collapse under their own weight
3. Large black holes can also be formed when smaller ones collide and merge
4. The biggest black holes lurk at the centre of many galaxies, including our own
5. Astronomers believe that when the universe was very young, black holes affected how galaxies formed
How to report a beggar
Abu Dhabi – Call 999 or 8002626 (Aman Service)
Dubai – Call 800243
Sharjah – Call 065632222
Ras Al Khaimah - Call 072053372
Ajman – Call 067401616
Umm Al Quwain – Call 999
Fujairah - Call 092051100 or 092224411
UAE currency: the story behind the money in your pockets
COMPANY%20PROFILE
%3Cp%3E%3Cstrong%3EName%3A%20%3C%2Fstrong%3ESmartCrowd%0D%3Cbr%3E%3Cstrong%3EStarted%3A%20%3C%2Fstrong%3E2018%0D%3Cbr%3E%3Cstrong%3EFounder%3A%20%3C%2Fstrong%3ESiddiq%20Farid%20and%20Musfique%20Ahmed%0D%3Cbr%3E%3Cstrong%3EBased%3A%20%3C%2Fstrong%3EDubai%0D%3Cbr%3E%3Cstrong%3ESector%3A%20%3C%2Fstrong%3EFinTech%20%2F%20PropTech%0D%3Cbr%3E%3Cstrong%3EInitial%20investment%3A%20%3C%2Fstrong%3E%24650%2C000%0D%3Cbr%3E%3Cstrong%3ECurrent%20number%20of%20staff%3A%3C%2Fstrong%3E%2035%0D%3Cbr%3E%3Cstrong%3EInvestment%20stage%3A%20%3C%2Fstrong%3ESeries%20A%0D%3Cbr%3E%3Cstrong%3EInvestors%3A%20%3C%2Fstrong%3EVarious%20institutional%20investors%20and%20notable%20angel%20investors%20(500%20MENA%2C%20Shurooq%2C%20Mada%2C%20Seedstar%2C%20Tricap)%3C%2Fp%3E%0A
Tu%20Jhoothi%20Main%20Makkaar%20
%3Cp%3E%3Cstrong%3EDirector%3A%20%3C%2Fstrong%3ELuv%20Ranjan%26nbsp%3B%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EStars%3A%20%3C%2Fstrong%3ERanbir%20Kapoor%2C%20Shraddha%20Kapoor%2C%20Anubhav%20Singh%20Bassi%20and%20Dimple%20Kapadia%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ERating%3A%3C%2Fstrong%3E%203%2F5%3C%2Fp%3E%0A
Motori Profile
Date started: March 2020
Co-founder/CEO: Ahmed Eissa
Based: UAE, Abu Dhabi
Sector: Insurance Sector
Size: 50 full-time employees (Inside and Outside UAE)
Stage: Seed stage and seeking Series A round of financing
Investors: Safe City Group
COMPANY PROFILE
Name: Kumulus Water
Started: 2021
Founders: Iheb Triki and Mohamed Ali Abid
Based: Tunisia
Sector: Water technology
Number of staff: 22
Investment raised: $4 million
BMW M5 specs
Engine: 4.4-litre twin-turbo V-8 petrol enging with additional electric motor
Power: 727hp
Torque: 1,000Nm
Transmission: 8-speed auto
Fuel consumption: 10.6L/100km
On sale: Now
Price: From Dh650,000