The shutdown of businesses across the world to halt the spread of the coronavirus has led to a collapse in corporate income. Government support schemes, whether ad hoc bailouts or loan guarantees and employment subsidies, have helped shield some businesses from the worst of the storm. Many, however, are quickly approaching the crunch point when the economic pain will need to be shared between shareholders, management and employees. Wise business leaders should not shy away from these difficult decisions but they should proceed carefully and ensure they are not seen to take advantage of a crisis.
Airlines, which are already in the most acute phase of this crisis, provide a cautionary tale for other sectors. Lufthansa, the German flag car…
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