British Airways will furlough about 28,000 employees to save cash after grounding most of its fleet in response to the coronavirus pandemic.
Following labor talks, all idled staff will receive 80% of their usual pay, the Unite union said in a statement Thursday. That will be funded by the U.K. government up to a value of 2,500 pounds ($3,095) a month under a national plan, with the airline picking up the tab for wages beyond that level.
British Airways is falling into line with carriers around the world in furloughing workers as the virus effectively wipes out global travel demand. Among U.K. rivals, EasyJet Plc laid off cabin crew for two months Monday after grounding its entire fleet, while staff at Virgin Atlantic Airways Ltd. have signed up for eight-week breaks, extended sabbaticals or voluntary severance.