Air Canada laying off 2,000 jobs
With the escalating price of oil already reaching record levels, many businesses cannot cope with the demand and that has cut into their bottom line. The hardest hit is in the aviation industry.
Air Canada, the world’s largest airline is cutting at least 2,000 jobs and eliminate certain routes for the summer and some for the winter (technically it will cut capacity by 7%) This is in response with the high price of crude oil and to cope with this demand, many airlines (including Air Canada) are starting to implement fuel surcharges to offset the costs. To learn more about the surcharge and how it will impact your travel plans, click here.
In a related note, Federal Express, a courier company well-know for its’ speedy deliveries, reported their quarterly loss as the fuel costs and the economic slowdown is hampering their bottom line.
If you are a traveler who is planning to go on a summer destination any time soon, there’s a few words I want to say to you: GET USED TO IT! While travel may be popular as it was affordable back then, we cannot escape the escalating costs to our economy.
References:
” FedEx Has First Loss in 11 Years; Profit to Decline.” Bloomberg.com. 18 June 2008. 19 June 2008. <http://www.bloomberg.com/apps/news?pid=20601103&sid=aBPgROetK_Oc&refer=us>
“Air Canada shrinks.” Toronto Star. 18 June 2008. 19 June 2008. <http://www.thestar.com/Business/article/445178>
“Air Canada cutting 2,000 jobs, trimming capacity.” CBC.ca. 17 June 2008. 19 June 2008. <http://www.cbc.ca/money/story/2008/06/17/aircanadacuts.html>
“Regional impact of Air Canada cuts unclear.” CBC.ca. 18 June 2008. 19 June 2008. <http://www.cbc.ca/canada/prince-edward-island/story/2008/06/18/aircanada-layoffs.html>
“Buyouts, not layoffs: Air Canada workers.” Montreal Gazette. 17 June 2008. 19 June 2008. <http://www.canada.com/montrealgazette/news/business/story.html?id=8545b585-ee9e-4ffb-ac43-63681d467c43>
“Workers suggest buyouts rather than pink slips.” Montreal Gazette. 18 June 2008. 19 June 2008. <http://www.canada.com/montrealgazette/news/business/story.html?id=333d5269-d9b1-4ee3-8fd0-a952786e8d57>
“Air Canada union demands help for airlines.” Toronto Star. 18 June 2008. 19 June 2008. <http://www.thestar.com/article/445019>
