>> Hong Kong's flagship carrier Cathay Pacific announcing massive job cuts on Monday with 600 staff at the head office to lose their jobs. It's the airline's biggest shake up in almost 20 years as it looks to get back in the black. Cathay recently recorded its first annual lost in eight years.
The airline says no Frontline employees, cabin crew or pilots will be fired because it's still growing. Instead, staff in those positions will be asked to step up their productivity, a third of their cuts are management jobs and there's more to come. It's just the first step in a three year reorganization plan.
Experts say the airline industry is being battered by falling ticket prices and Cathay is facing stepped up competition from Mainland Chinese airlines aggressively expanding their footprint overseas. The airline's new CEO Rupert Hogg said the cuts were quote tough but necessary. Shares in the airline hit a two month high on the news.