“Our airline customers and airframe partners are having to adapt and so must we,” said Rolls-Royce CEO Warren East. “Governments across the world are doing what they can to assist businesses in the short-term,” he said, but they “cannot replace sustainable customer demand that is simply not there.”
Rolls-Royce’s restructuring, along with cost reductions “in plant and property, capital and other indirect cost areas” is expected to save a total of £1.3 billion (€1.45 billion), of which £700 million will come from redundancies.
UK Transport Minister Grant Shapps told Parliament on Monday that 43,500 people had been made redundant in aviation in the UK due to the coronavirus crisis. That includes employees of British Airways, Virgin Atlantic and Ryanair, all companies that had already announced thousands of job cuts.