Transport for London (TfL) are to furlough 7,000 staff from Monday after the fare income has plummeted by almost 100%.
TfL said their main source of revenue has almost “disappeared” over the coronavirus lockdown by 90%.
Bus journeys across London have fallen by 85% whilst tube journeys are down by 95% as people have been told to only make essential travel.
TfL will now access the Coronavirus Job Retention Scheme and will save £15.8m a month. TfL staff will be furloughed for an initial three week period.
London’s transport commissioner Mike Brown said, “The transport network is crucial in the fight to tackle coronavirus and it will play a similarly vital role in supporting the country’s economy as it recovers from the pandemic.
“We have significantly cut our costs over recent years but nevertheless the success of encouraging the vast majority of people to stay at home has seen our main revenue, fares, reduce by 90%.
“We are now taking steps to use the government’s Job Retention Scheme to further reduce our costs where work has been paused because of the virus, while at the same time supporting our staff financially.
“Our work with the government about the support that we need are ongoing and are constructive.
“We hope for an urgent agreement so that we can continue to provide the city with the vital transport it needs now and going forward.”