Carnival Lays Off Employees, Slashes Pay to Cut Further Costs

[tacobell fan]

Carnival Corp. said it is laying off and furloughing employees, as well as reducing work weeks and cutting pay, to cut hundreds of millions in annual costs as it has taken a hit from sailing suspensions amid the coronavirus pandemic.

The world's largest cruise operator didn't specify the number of affected workers. Company spokespeople didn't immediately respond to a request for comment. Carnival had an average of 92,000 employees on 104 ships last year as well as an average of 12,000 full-time and 2,000 part-time shoreside employees, according to its annual securities filing.

"Taking these extremely difficult employee actions involving our highly dedicated workforce is a very tough thing to do," President and Chief Executive Arnold Donald said. "Unfortunately, it's necessary given the current low level of guest operations and to further endure this pause."

Carnival, whose employees hail from more than 100 countries, has had to repatriate thousands of crew members on chartered flights, as the Centers for Disease Control and Prevention prohibited cruise-ship travelers from boarding commercial flights and public transportation. Ports have also refused to let crew members disembark, leaving them stranded on ships.

The company, which plans to resume eight cruises beginning Aug. 1, will stagger its fleet reentry, Mr. Donald said. The CDC's no-sail order could be in place well into late July, unless the agency lifts it at an earlier date.

Mr. Donald said fewer than 38% of customers of canceled voyages have requested cash refunds. Like other cruise companies, Carnival offers affected customers the refund option of future cruise credits at a premium or the full amount in cash.

The company said its debt and equity raises have resulted in $6.4 billion of additional liquidity.

[Pitta]

[SRK_SRK]

what about Royal Carrabian ?