Type
Bankruptcy
Country
Czechia
Region
Location of affected unit(s)
Sector
Transportation / Storage
Land, Water And Air Transportation
Air Transport
51.10 - Passenger air transport

430 jobs
Number of planned job losses
Job loss
Announcement Date
23 February 2021
Employment effect (start)
23 February 2021
Foreseen end date
31 December 2021

Description

The national air carrier Czech Airlines (ČSA) has announced a mass redundancy due to insolvency which will affect all its 430 employees during 2021. The airline has been hit by the effects of the COVID-19 pandemic. The Smartwings aviation group, to which the Czech Airlines belong, asked the state for financial assistance in the amount of CZK 1.1 billion (€42 million) for Czech Airlines at the beginning of February 2021. According to the Minister of Industry and Trade, the state is not planning to help.

Last year, Czech Airlines recorded a loss of about CZK 1.5 billion (€57.4 million).


Sources

Citation

Eurofound (2021), Czech Airlines (ČSA), Bankruptcy in Czechia, factsheet number 103633, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/103633.