National flag carrier Garuda Indonesia has decided to furlough around 800 contract workers for three months starting on Friday as the airline struggles to stay afloat amid the COVID-19 pandemic.

Garuda Indonesia president director Irfan Setiaputra said the measure was a hard decision that needed to be made to help ensure the airline’s sustainability before it resumed normal operations.

“We have made this decision after thorough consideration by taking into account the employees and the company’s interests and to avoid layoffs,” he said in a statement on Sunday, adding that the decision had been discussed between the employer and the affected employees.

During the three-month period, the furloughed employees will still get their health insurance and Idul Fitri bonus, Irfan stated.

The COVID-19 outbreak has forced Garuda to park 100 of its 142 aircraft w...

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