TAP starts collective dismissal process; 124 workers will leave

  • ECO News
  • 8 July 2021

The national airline began a collective dismissal process on Thursday, which involves 94% fewer workers than were initially planned.

TAP will this Thursday start the collective dismissal of 124 workers as part of its restructuring, the company said in a statement sent to the Portuguese Securities and Exchange Commission (CMVM). This is a “very significant reduction,” the Portuguese airline said.

Following the implementation of the restructuring plan, between February and June of this year, TAP implemented a set of “a set of labour measures on a voluntary and consensual basis for its employees, namely mutual agreement terminations, early retirement, pre-retirement, part-time work, unpaid leave, as well as applications for vacancies available at Portugália – Companhia Portuguesa de Transportes Aéreos, S.A. (“Portugália”).”

These measures made it possible for the initial downsizing target of the Restructuring Plan to be “adjusted downwards”, thus allowing the number of workers eligible for unilateral measures to be reduced to 124, or around 94% of the number initially planned (close to 2,000), the company said in the same statement.

Thus, 35 pilots, 28 cabin crew members, 38 maintenance and engineering workers and 23 workers from TAP’s head office will be dismissed. The dismissal process of these workers should be concluded in the last quarter.

During the collective dismissal, TAP will continue to offer, during an initial phase, “similar conditions to those offered in the voluntary phases to those employees who choose to reconsider their previous decision not to adhere to the voluntary measures, as well as maintain the possibility of applying for the remaining vacancies at Portugália”. The company thus hopes to “reduce the number of employees who leave unilaterally within the scope of a collective dismissal process.”