Jet2.com and Jet2holidays parent Dart Group has asked all staff – including directors – to take a pay cut of up to 30% for the six months from 1 April to 30 September.
This is despite around some 80% of the group’s UK staff already having been placed on furlough under the government’s job retention scheme, as have "many" of its overseas workers.
In a trading update issued on Friday (24 April), the group further revealed that it is seeking to confirm its eligibility for the government’s Covid Corporate Financing Facility, which has already provided £600 million to easyJet via a commercial loan.
Dart has also confirmed it had fully drawn down a £100 million revolving credit facility to boost liquidity, adding that it remains in constructive discussions with other existing liquidity providers.
Additionally, performance-related bonuses for the financial year ending 31 March 2020, plus the group’s discretionary colleague profit share scheme, will not be paid.
The board has also decided it would be "inappropriate" to recommend a final dividend for the year at this time.
Dart nonetheless expects to report pre-exceptional group profit, before foreign exchange and taxation, for the year to 31 March 2020 of between £265 million and £270 million, up 49% on full-year 2018/19.