Transat is preparing to lay off up to 80 workers as the tour operator and air carrier struggles to restore its finances, according to a preliminary notice sent to the Quebec government.
Over the course of the year, the company felt the headwinds of fierce competition, engine recalls and the threat of a strike, all of which served to drain even more cash from the company in difficulty.
Quebec labor rules require some companies to submit figures for possible mass layoffs for jobs regulated by the province, even if they don’t materialize.
In a notice to the province’s employment ministry, Transat indicates that the layoffs could be effective by 1er November, specifying in an email to The Canadian Press that they would not apply to pilots, flight attendants or other positions regulated by the federal government.
Andréan Gagné, spokesperson for Transat, said that notification of potential layoffs constitutes a “precautionary measure” in order to comply with provincial rules.
During its first three quarters, Transat reported a combined net loss of $155.3 million, compared to a loss of $28.5 million for the same period a year earlier.
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