Thai Airways International (THAI) will shed at least 1,400 employees this year under a voluntary retirement programme, and another 700 next year, as part of a shakeup aimed at returning to profitability.
THAI president Charamporn Jotikasthira said on Monday that 1,401 staff had accepted packages for voluntary departure since applications were invited in April.
He denied that the employees were laid off, saying THAI was a publicly listed company and so it could not layoff staff.
The early retirement programme would cost the airline 5.3 billion baht this year and 2 billion baht next year, when another 700 employees would be persuaded to leave.
A source at the national airline said THAI was reducing its workforce in line with the reduction of its flights, routes and stations. The voluntary redundancy programme focuses on flight attendants aged 45 and over and people who have worked for the airline for 15 years or more.
Staff departures were set to start in August. The airline's total workforce is about 25,000.
THAI suffered a net loss of 15.6 billion baht last year and 12 billion the year before. It was able to reverse course in the first quarter this year, posting a net profit of 4.54 billion baht, helped by a robust travel industry, foreign exchange gains and cost controls.