Dubai's Dnata confirms 'substantial number' of employees have been stood down

Airport services firm says undisclosed number of staff members have been let go amid Covid-19 pandemic

Earlier this month Dnata, which employs 45,000 globally across its airport and travel services divisions, reported a 57 percent fall in annual profit.

Dubai airport services firm Dnata has revealed the company has been forced to “stand down” a “very substantial number of employees” while conceding that redundancies have also been made.

Earlier this month Dnata, which employs 45,000 globally across its airport and travel services divisions, reported a 57 percent fall in annual profit after the pandemic decimated the travel industry.

In a statement sent to Arabian Business, a spokesperson said: “In many of our operations we have zero activity/income. Simply put, no business is sustainable on such basis. Further, future activity levels remain unpredictable with varying views as to the longevity of the disruption and subsequent implications of a global recession.

“Given this extraordinary operating environment we have had to take some difficult steps to adjust our business model and work hard as we right size our business for what, right now, is an uncertain future.

“Reluctantly this has also meant we have had to stand down a very substantial number of employees and have also had to let some of our people go.”

The spokesperson did not give an indication of numbers impacted by the latest move.

The business, which along with Emirates airline is an asset of Dubai state company Emirates Group, provides airport services at 95 airports in 15 countries and catering services at 60 locations in 12 countries.

Just last week Dnata admitted it is looking to review its operations in Australia after the company was excluded from the country’s JobKeeper legislation.

A statement from the company said the decision to amend the legislation, preventing businesses owned by foreign governments from claiming, has put 4,500 jobs at risk.

The spokesperson added: “We are working with governments on furlough schemes, where they exist; and constantly looking at ways to redeploy our skilled workforce until normal operations resume.”

On Sunday, Emirates airlines revealed that the Dubai-based carrier is conducting a “thorough review of costs”.

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