Garuda removes directors to save costs amid debt restructuring

Garuda Indonesia has shrunk its management to reduce costs as the airline restructures its way out of a pandemic-driven financial crunch. Garuda now has only six directors, removing the position of vice president director and merging services and business development director with commercial and cargo director, President Director Irfan Setiaputra said in a press conference after an annual shareholders’ meeting on Friday. The management changes come on the back of efforts to restructure 70t rupiah ($4.9b) of debt and renegotiate contracts with aircraft lessors. The company previously offered early retirement to its workers to reduce costs. “Considering from time to time we always streamline the number of employees, we also have to streamline the board of directors,” said Setiaputra. “This for sure will create complications, but we are ready to face them.”<br/>