to lay off up to 25% of its workforce due to coronavirus slowdown


A man looks at the websiteYuriko Nakao | Getty Images’s parent company plans to lay off up to 25% of its global workforce as the Covid-19 pandemic continues to weigh heavily on travel, the company reported in a filing on Tuesday. has more than 17,000 employees, a spokeswoman for the company told CNBC.Booking Holdings, the parent company of, will finalize its plans and make announcements to employees country by country from September, according to the filing. Booking Holdings is also the parent company of other online travel companies like Kayak and Priceline, but the layoffs will only affect, the filing says.

The travel industry has continued to see dramatic declines in business due to the ongoing pandemic, and many believe a vaccine is needed to get travel back to normal. Booking reported a 51% drop in first quarter gross travel bookings year over year. Booking is expected to publish results for the second quarter of 2020 on Thursday.

Booking Holdings shares rose 1% at the start of trading on Tuesday. The stock is down about 19% since the start of the year.

“The Covid-19 crisis has devastated the travel industry, and we continue to feel the impact as travel volumes remain significantly reduced,” a company spokesperson told CNBC in a statement. communicated. “While we’ve done a lot to save as many jobs as possible, we believe we need to restructure our organization to match our expectations for the future of travel. ”

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