Hundreds of employees were laid off following the declaration of bankruptcy by a budget airline. PLAY, an Icelandic carrier based in Reykjavík, officially shut down its operations and grounded all flights in September. The company’s website posted a message stating the cessation of operations and flight cancellations.
Reports from local media outlet RUV indicated that around 400 workers were impacted by the closure, with efforts made by the company to compensate them. The status of full payment to the affected staff remains uncertain.
Established in July 2019, PLAY commenced operations out of Keflavík International Airport, Reykjavik, in June 2021. Initially focusing on six European destinations, including Alicante, Tenerife, London, Paris, Copenhagen, and Berlin, the airline also operated flights between London and Reykjavik. However, ticket sales were no longer available beyond November 1 prior to the shutdown.
The board of PLAY released a statement confirming the termination of operations and flight cancellations, attributing the decision to underperformance, poor ticket sales, negative media coverage, and internal disagreements among employees. Changes in the company’s business model failed to yield the expected results, contributing to its financial difficulties and eventual closure.
For an enhanced Google Search experience, consider setting us as your Preferred Source to access our latest headlines promptly.