Abu Dhabi’s Etihad extends reduced pay for employees till end of the year; caps cut at 10%

Abu Dhabi’s carrier Etihad Airways has reinstated all staff allowances but has extended salary cuts for its employees until the end of the year.

Basic employee salaries will be docked by 10 per cent from September until the end of 2020, in lieu of an earlier cut of between 25-50 per cent.

“Effective 1 September, Etihad has reintroduced all staff allowances, and the reduced pay scheme will now be capped at 10 per cent of basic salary (previously 25-50 per cent) for the remainder of the year. The commitment and dedication demonstrated by the entire Etihad workforce over the past five months has been greatly appreciated,” an Etihad spokesperson told Gulf Business.

The carrier initially announced salary cuts in March.

Read: Etihad asks staff to take between 25-50% pay cut; expands cargo operations

Last month, Etihad Airways asked its staff to take voluntary unpaid leave again, as the airline had more crew than needed. Crew members could take between 10 days to six months of unpaid leave, starting September 16.

Etihad had initially asked its cabin crew to take paid leave between April 6-May 5, in March this year.

Read: Update: Abu Dhabi’s Etihad asks cabin crew to take paid leave

Etihad Airways reported a 50 per cent dip in passengers numbers during H1 2020, having ferried 3.5 million customers, compared to 8.2 million in H1 2019.

Read more: Abu Dhabi’s Etihad registers 58% dip in passenger numbers for H1 2020

In related news, the flagship carrier of neighbouring emirate Dubai, Emirates confirmed that it would restore full salaries of its employees, beginning October.

Read: Dubai’s Emirates to restore full salaries of employees from October