While initially flagged to last until at least September 12, Rex will extend its stand down of 500 staff into October.
The regional airline, which only recently expanded to fly domestic capital city routes, said it was left with little choice after the NSW government extended the lockdown of Greater Sydney to the end of September with a similar extension expected for Melbourne today.
“Given this uncertainty, we are left with no option but to extend the suspension of our domestic services and reduction of our regional services up until 10 October 2021 to provide some time for the advanced sale of tickets. This will also mean an extension of the stand-down period for staff,” Rex said.
It remains optimistic that travel demand will bounce back fast when lockdown ends and borders re-open.
Rex fell to a $7.2 million pre-tax loss in FY21 – a result cushioned by $87.4 million of taxpayer-funded help. The total amount of government pandemic support extended to Rex now exceeds its total market value.