Air Namibia plans to lay off between 100 and 150 employees - up to 30% of its workforce - by the end of this month as part of a restructuring plan that will cost up to N$10 million ($1.6 million), but which should ultimately reverse the downward trend in its financial performance.
Managing director Jaafar Ahmad says that operations will be streamlined across all departments, with some likely to be closed. "Losses are higher than is sustainable, and without these cuts the airline may have to close down," he warns.
The workforce has until 26 April to apply for voluntary redundancy, after which enforced job cuts will be implemented.
The costs of restructuring could have an impact on Air Namibia for a further 18 months.
Source: Flight International
