Companies

ANA Proposes to Union that Flight Attendants can Live Outside Urban Areas

Yomiuri Shimbun file photo
Few passengers are seen in the departure lobby of All Nippon Airways at Haneda Airport in Tokyo in October.

The Yomiuri Shimbun

15:43 JST, November 29, 2020

ANA Holdings Inc., which owns All Nippon Airways Co., proposed to its labor union the introduction of a temporary system for about 8,000 flight attendants to live outside urban areas and find side jobs if they wish.

The proposal, which would take effect next April, is aimed at flight attendants based out of Narita and Haneda airports in the Tokyo area.

A conditional aim of the proposal is to reduce the number of working days at the company by half. The majority of flight attendants currently live near both airports as part of their terms of employment. According to the company, the new system would help hold down personnel costs and allow for the employees to keep their jobs under a flexible working agreement.

In addition, management is also proposing that flight attendants on international and domestic flights be allowed to voluntarily choose a work style that would encompass 50% to 80% of their working days and an accompanying 50% to 75% of their salaries from their current levels. Labor and management will discuss the introduction of such a system in the future.

ANA Holdings expects that global demand for air travel will return to levels seen before the pandemic by 2024 and it is expected that passenger demand will return once the spread of the novel coronavirus is brought under control.

The company has indicated that it will not implement a major reduction in personnel and that the proposed temporary system is also aimed at keeping employees on board in the company.

ANA Holdings is forecasting a consolidated net loss of 510 billion yen for the fiscal year ending March 2021 due to a sharp decline in passenger numbers caused by the spread of the novel coronavirus.

The company has urgently needed to reduce personnel costs, which account for about 30% of fixed costs. Group employees, including flight attendants, are believed to have already had their salaries reduced significantly due to reasons such as furloughs.