Norwegian Says 4,700 Jobs at Risk After Unit Bankruptcies, Contracts Axed

Norwegian Air on Monday reported that four Swedish and Danish subsidiaries had filed for bankruptcy and that it had ended staffing contracts in Europe and the United States, putting some 4,700 jobs at risk, Reuters reported. The airline is seeking to convert debt to equity, money from shareholders and Norwegian state guarantees in a bid to survive the coronavirus crisis. Earlier on Monday Virgin Atlantic said it would only survive the pandemic if it got financial support from the British government, while Virgin Australia is set to enter voluntary administration, according to sources close to the matter. Norwegian Air said the four subsidiaries in Sweden and Denmark were companies that employed pilots and cabin crew. The cancelled agreements involve firms which provide crews based in Spain, Britain, Finland, Sweden and the United States. Combined, it said some 4,700 pilots and cabin crew members would be affected while about 700 pilots and 1,300 cabin crew based in Norway, France and Italy remained unaffected. Read more