ACV cuts nearly 1,400 jobs in third quarter as Long Thanh airport nears December opening

Airports Corporation of Vietnam (ACV), developer of the Long Thanh International Airport project, reduced its workforce by nearly 1,400 employees in the third quarter, bringing total headcount to just over 7,110. The cuts are part of a broader restructuring that has shrunk the number of management d

Airports Corporation of Vietnam (ACV), the developer of the Long Thanh International Airport project in southern Vietnam, cut nearly 1,400 employees in the three months to the end of September, its latest financial statements show. The workforce shrank for a third straight quarter, falling from more than 10,800 at the start of the year to just over 7,110 at the end of September.

The reductions helped lower expenses. Payments to employees in the first nine months totalled more than VND2.63 trillion (US$101.92 million), around 13 per cent less than in the same period last year. The workforce changes followed a restructuring of ACV's management: in its annual report published in April, the company said it now has 12 departments under its board of directors and executive management, down from 17.

Continuing to reorganise and streamline its structure was the first item ACV's leadership listed among its corporate governance activities for this year. The airport is expected to begin operations at 00:00 a.m. on 24 Dec, with about 366 flights per week, including 322 domestic flights.

By the end of September, construction costs for the project's first phase totalled nearly VND44.13 trillion, up 29 per cent from the start of the year. In the first nine months, ACV recorded revenue of more than VND19.22 trillion, roughly unchanged from the same period last year. The company reported pre-tax profit of nearly VND10.8 trillion for the period, a slight year-over-year decline but well above its full-year target.