U.S. car rental company Hertz Global Holdings stated on Monday that it prepares to lay off 10,000 workers throughout its North America operations to cut costs amid the ongoing COVID-19 coronavirus crisis.
Hertz had about 38,000 workers as of Dec. 31, 2019, of which 29,000 were at its U.S. operations.
The company, which counts billionaire investor Carl Icahn as its largest shareholder, will incur worker termination costs of about $30 million, it stated in a regulatory filing.
The terminations were effective April 14 for non-union workers and effective April 21 for union workers, the company stated.
Late last month, the company it was implementing furlough programs throughout its North America operations to cope with declining demand for its services.
“Like the rest of the world’s travel sector, COVID-19’s impact on Hertz arrived swiftly, and the reversal in customer demand has been significant,” said Kathryn Marinello, the Chief Executive Officer of the company, in March.
The company also stated previous month that it hoped to bring back as many team members as possible once world travel rebounds.
About 810,276 people in the US have been confirmed as being infected with the coronavirus. The virus has killed 44,234 people in the country.