JAL to cut 1,200 jobs by next March

Japan Airlines Corp (JAL) plans to trim an additional 1,200 jobs this financial year as Asia's biggest carrier faces slumping demand for air travel amid the recession.

JAL is expected by analysts to forecast losses for a second straight year when it announces its earnings on Tuesday morning.

It said it plans to cut about 3 percent of its work force by the end of March 2010 by not filling vacancies. It has about 47,500 employees.

"We will minimise refilling posts by improving productivity," said JAL spokesman Satoru Tanaka. The carrier has been cutting its work-force and reining in costs in recent years but was forced to implement another round of job reductions as the economic downturn has driven down both business and leisure travel.

The company has forecast a net loss of 63 billion yen ($641 million) for the year ended March 31. It is expected to post a net loss of 54.5 billion yen for the current financial year according to the average forecast of nine analysts polled by Thomson Reuters.

JAL will announce its results at 11:30 a.m. (0230 GMT). ($1=98.30 Yen).

Reuters