Japan Airlines will suspend the hiring of new graduates for fiscal 2021 starting next April.
The major carrier said Wednesday that it needs to review its recruitment plan because the business environment is deteriorating rapidly from the coronavirus outbreak.
Among its domestic peers, Skymark Airlines and ANA Holdings Inc., the parent of All Nippon Airways, have also suspended recruiting.
In fiscal 2021 JAL was slated to hire about 1,700 people, including flight attendants, for the entire group. Informal job offers already made to some 150 people will be honored, and recruiting will continue for about 80 pilot candidates as well as people with disabilities.
JAL recorded a ¥22.9 billion consolidated net loss for the January-March quarter as travel demand fell sharply and many countries imposed entry and departure restrictions to curb the pandemic.
The virus crisis has forced JAL to suspend about 70 percent of its domestic flights and over 90 percent of its international flights.
The government lifted the state of emergency for the outbreak on Monday, but it is unclear to what extent demand for air travel will recover.
Demand for international flights is expected to remain especially sluggish.