Philippine Airlines (PR, Manila Ninoy Aquino Int'l) has announced it will lay off around 2,500 staff during the final quarter of 2020, amounting to a third of its entire workforce.

"At the height of the pandemic, PAL chose to implement temporary furloughs and flexible working arrangements to maintain jobs as long as possible. However, the collapse in travel demand and persistent travel restrictions on most global and domestic routes have made retrenchment inevitable," the carrier said.

The cuts will comprise both voluntary and involuntary measures.

Philippine Airlines said that despite a period of eight months having passed since the pandemic erupted, it continues to operate just 15% of its normal scheduled capacity.

The carrier is particularly affected by the ongoing entry ban on all foreigners except permanent residents. In order to help its embattled tourism industry, the Filipino government is planning to allow tourists to visit the resort island of Boracay but only under severe restrictions.