Rolls-Royce plans summer pause at plants

Bloomberg

Rolls-Royce Holdings Plc plans to shutter civil aerospace production for two weeks over the summer, cutting pay for 19,000 workers as the coronavirus crisis stunts demand for airliner engines.
The measures relate to negotiations with unions announced last summer and will affect 12,500 people in the UK,
where Rolls-Royce is based, a spokesman said. The salary reduction will be spread over the year to ease the burden.
Air travel has tumbled to historically low levels as new forms of Covid-19 trigger fresh lockdowns. Long-distance flights have been hardest hit, crushing demand for the twin-aisle planes the company helps power. Airbus SE, which uses Rolls engines on all of its wide-body jets, has postponed a planned production increased, warning that aviation remains in the “eye of the storm.”
Rolls-Royce is facing “hard times of grim practicality,” Jefferies analyst Sandy Morris said in a note.