The Air Peace on Monday sacked 69 pilots and other supporting staff due to “crushing effects of the COVID-19 pandemic on its operations.”
The airline also slashed staff salaries by about 40 percent.
In a statement issued in Lagos, the Air Peace management said it took the “very painful, but rightful decision” in the interest of the organization.
It said the decision was due to circumstances the airline found itself due to the devastating effects of the pandemic on its operations.
The statement read: “This decision was taken for the greater good of the company and its almost three thousand workforce, the affected pilots inclusive.
“The airline cannot afford to toe the path of being unable to continue to fulfill its financial obligations to its staff, external vendors, aviation agencies, maintenance organisations, insurance companies, banks, and other creditors.
“Hence, the decision to restructure its entire operations with a view to surviving the times.
“The pandemic has hit every airline worldwide, so badly that it has become very impossible for airlines to remain afloat without carrying out an internal restructuring of their costs.
“Anything short of what we have done may lead to the collapse of an airline as could be seen in some places worldwide during this period.
“Therefore, we decided to review the salaries being paid to all staff. The new salaries reflect a 0-40 percent cut of the former salary depending on the salary grades of every staff.
“Even after the cuts, it was obvious that for us to be able to sustain our operations and survive the times, some jobs must inevitably have to go.”