Virgin Group founder Richard Branson has written an urgent letter to employees on Monday warning that the company's airline subsidiary will collapse without financial support from the government
"Over the five decades I have been in business, this is the most challenging time we have ever faced. It is hard to find the words to convey what a devastating impact this pandemic continues to have on so many communities, businesses and people around the world. From a business perspective, the damage to many is unprecedented and the length of the disruption remains worryingly unknown", Branson's letter wrote.
Branson, who is the seventh richest man in the UK, is asking for a bailout loan of £500 million ($614 million, which he claims would be a loan and paid back, according to the BBC. Addressing questions about his own wealth, saying that his net worth is calculated by adding the total value of Virgin businesses around the world prior to the coronavirus pandemic.
The 69-year old tycoon also claimed that pay cuts taken by the airlines 70,000 employees were a "unanimous decision" by workers and their unions in order to save jobs.
As the billionaire seeks a rescue package, social media users hit back over his plea on social media.
Multi-billionaire Sir Richard Branson who owns an island is threatening to let Virgin Atlantic collapse unless the tax payer pays the wages of his staff because he won't sell his island or pay their wages with the money their labour created. This is capitalism ladies & gentlemen.
— RD Hale🌹Open Selection NOW! (@SkyeCity_) April 20, 2020
And instead of Richard Branson offering his private island as collateral for a government bailout, why doesn't he sell the island and use his own assets to support his own companies?
— George Monbiot (@GeorgeMonbiot) April 20, 2020
He wants to remain as rich as Croesus, while the government saves his business.
With some praising the widespread criticism as an act of national solidarity.
You know, watching everyone in Britain collectively shame Richard Branson, despite the efforts from free market extremists to curtail the outrage, has truly made my day. Solidarity with the Virgin Atlantic employees.
— Shahmir Sanni (@shahmiruk) April 20, 2020
Others even called for the airline to be nationalised.
It makes a lot of sense to nationalise Virgin, at least in part - it will help boost domestic tourism, and when times get better, we can sell some off
— SG (@SimonGi31125559) April 20, 2020
The news follows reports that Virgin Australia is set to go into voluntary administration. Travel and leisure services have been facing economic difficulty as they have been the worst affected by the outbreak of COVID-19.
