Virgin Australia have announced further cuts. Picture: AAP Image/Joel Carrett.
Virgin Australia have announced further cuts. Picture: AAP Image/Joel Carrett.

8000 Virgin workers stood down, Tiger Air grounded

Virgin Australia has announced further drastic cuts to their fleet, extending domestic capacity reduction from 50 per cent to 90 per cent - meaning only 10 per cent of their flights will continue across the country.

The airline's budget carrier, Tigerair Australia, will ground all their domestic services effective immediately.

The airline announced they will also be suspending 8000 jobs, a "dramatic step" the airline needed to take in response to the coronavirus outbreak and market conditions.

Virgin Australia CEO and Managing Director Paul Scurrah said the decision was in response to the federal and state governments' latest travel advice.

Virgin Australia has stood down 8000 workers. Picture: AAP Image/Joel Carrett.
Virgin Australia has stood down 8000 workers. Picture: AAP Image/Joel Carrett.

"The extraordinary steps we've taken have been in response to the federal and state governments latest advice," he said in a statement.

"We are now facing what will be the biggest grounding of aircraft in this country's history. From the end of this week, we will begin repositioning and grounding more than 125 aircraft in our fleet, suspending almost all our domestic and international flying until at least the middle of June."

Mr Scurrah also said budget carrier Tigerair will suspend all flights effective immediately.

"We plan to return Tigerair Australia and Virgin Australia to the skies as soon as its viable to do so, however I am mindful that how we operate today may look different when we get to the other side of this crisis," he said.

More to come.

Originally published as 8000 Virgin workers stood down