Carnival Corp Begins to Reduce Workforce and Implement Pay Cuts

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To help survive the pause in operations Carnival has started to eliminate and furlough jobs along with salary cuts.

Carnival Lays Off and Furloughs Staff

The President and CEO of the Carnival Corporation, Arnold Donald has sent a letter to shoreside employees that the extremely difficult decision has been made to lower the outgoing cash flow even further. This will mean that the shoreside workforce will be reduced including a combination of job eliminations and furloughs.

In the letter, it was mentioned that those employees that do remain will have to take a reduction in hours or salary reductions to help the company cope during the pause in operations. Those on furlough will still keep their health benefits and those who will remain working will be counted on to keep the world’s largest cruise company running.

In a press release from Carnival Corp which Cruise Hive previously reported on it was also stated that additional steps are being taken to help cope with the situations. This includes a gradual return to service such as the eight Carnival cruise ships resuming sailings in August, reducing crew members on board cruise ships, reducing the cost of ships but putting many in cold layup and more.

There is a huge focus on the thousands of shipside crew members across all its cruise brands. Crew members are being repatriated back home to their countries including the Philippines which we’ve extensively covered here.

Even though the cruise company has not said cruise ship staff are being laid off we’ve been informed by multiple sources that crew members in the entertainment department are being laid off, some of which have been working on Carnival cruise line operated ships for 10 years. It’s not known how many crew member jobs are being eliminated.

Those working at the main Miami office and some other facilities related to Carnival such as the entertainment department are set to be impacted the most. You can read the full letter from Arnold Donald below which was sent out to shoreside employees:

Arnold Donald Letter

Another focus is on eliminating senior executive cash salary payments. We all know they get paid some impressive amounts and this will no doubt Carnival ride out the pandemic in hope of making a great comeback later in the year.

Carnival UK which mainly operates P&O Cruises and Cunard Line have already announced that 450 jobs will go at its headquarters in Southampton, UK, you can read more right here.

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