JAL moves on early retirement plan

15th Jan 2008

JAL International has received applications for
a special early retirement plan from a total of 320 cabin attendants in
Japan. The deadline for applications was December 21, 2007.

The voluntary plan was offered to cabin attendants who at the time of
March 31, 2008 will have completed at least 15 years service and will be
54 years or older if they hold managerial positions, or will be 50 years
old or older if they hold non-managerial positions. 900 staff were
eligible for the early retirement plan.

The retirement date for the successful applicants will be at either the
end of March, or September, 2008.

This brings to 1,200 the total number of applicants for early
retirement plans offered by JAL in FY2007, the year ending March 31,

On August 24 2007, JAL announced that it had decided to ask ground staff
in Japan in middle management positions (‘jicho’ & ‘kacho’ class in
Japanese) who were 49 or above as of March 31, 2007 and had been
employed for at least 15 years to apply for a special early retirement
plan. The company received 630 applications for this scheme. The
retirement date for these staff was November 30, 2007.


JAL also offered an early retirement program to senior management staff
in Japan who were 54 years and over on March 22, 2007. Applicable staff
for the new program were vice president level department heads (‘bucho’
class in Japanese) in JAL’s ground-based staff, cabin attendant and
flight operations departments. A total of 250 applied and retired June
30, 2007.

To secure smooth business operations and pass on skills and techniques,
maintenance engineering staff and flight operations control staff have
been excluded from the early retirement schemes.

The company announced in the FY2007-2010 Medium-term Corporate Plan
(released on Feb 6, 2007) measures to trim personnel costs including the
implementation of early retirement measures to build a more dynamic, and
streamlined organization. The company plans to reduce personnel costs by
50 billion yen each fiscal year when compared to FY2006 through a
combination of the following measures: increasing human productivity by
10% through a bold review of work content and work process, work form,
manpower allocation and restructuring of affiliated businesses;
suspending new hiring; not replacing retiring staff; natural reduction
in addition to the implementation of special early retirement programs.


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