Reports Suggest Etihad Is Planning 1,200 Lay Offs

Abu Dhabi-based carrier Etihad Airways is rumored to have plans to lay off 1,200 of its employees. The…

Reports Suggest Etihad Is Planning 1,200 Lay Offs

Abu Dhabi-based carrier Etihad Airways is rumored to have plans to lay off 1,200 of its employees. The rumors of a workforce-downsize are accompanied by whisperings that the airline may also retire its Airbus A380 fleet while cutting its plans to add the A350. The news, published earlier today, comes from “company and industry sources,” according to Reuters.

Etihad’s total employee count as of August 2019 was reported to be 20,520. Photo: Getty Images

A much-needed reduction

This unconfirmed news comes as many airlines around the world make similar moves to their workforce compositions. With significantly reduced travel demand at the moment, airlines have an over-capacity problem, with scores of aircraft parked in long-term storage facilities around the world. With fewer flights and fewer aircraft, naturally, there is a reduced need for workers.

A short-term crisis would probably see ‘wealthy’ airlines hold on to their redundant staff through the duration of the hardship. However, airline executives and industry experts around the world consistently provide “two to three years” as the time frame for the industry to attain 2019 traffic levels once more. With this longer time frame in mind, airlines are forced to shrink quickly and reduce cash burn as soon as possible.

 

Flight Attendant helps Etihad Airways passengers
Etihad Airways has already cut hundreds of jobs due to this crisis. Photo: Etihad Airways

With that being said, Etihad’s rumored plan to lay off 1,200 employees is relatively small. The airline had 20,530 employees as of August 2019, but already laid off hundreds of staff. If we assume around 500 staff have already been let go, then losing 1,200 employees would only be an additional 6%.

With many middle eastern carriers hiring migrant workers and ex-pats from around the world, this may have far-reaching effects on labor markets further afield. Airlines like Etihad have often hired workers from Eastern Europe and the Balkans as well as South Asia and the Phillippines. If these workers return to their homes, there may be an over-abundance of airline workers in those regions.

A relatively small cut

While Etihad may let go of 1,200 employees shortly, it pales in comparison to what other airlines are doing. Scandinavian carrier SAS had already decided to cut 90% of its workforce or 10,000 employees. Norwegian had also cut 90% of its workforce – equivalent to roughly 7,300 workers.

Air Canada
Existing elite status members will receive additional bonuses. Photo: Air Canada

The biggest round of cuts we’ve seen recently has been from Air Canada. The Canadian carrier has plans to cut 50-60% of its staff within the next few weeks. This equates to as many as 20,000 workers.

Conclusion

With Etihad abandoning its plans to become a global hub airline similar to Emirates and Turkish Airlines, it has further reason to downsize its operations. Indeed, major competition in recent years from both Emirates and Qatar Airways have presented challenges for the UAE carrier. Its revised strategy, according to Reuters, is to become a “mid-sized carrier operating direct flights.” Whether or not this strategy will prove successful remains to be seen.

Do you think the rumors are true? Or worse, could the number of layoffs be higher? Let us know your thoughts in the comments.

Simple Flying reached out to Etihad requesting comment or statement on this subject. However, at the time of publication, no response was received from the airline. We will update this article if any new information comes on.

Source : Simple Flying More   

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Canada: Coronavirus (COVID-19) Impact on Business Aviation

Canada May 21, 2020 Restriction expiration: June 1, 2020. General Restrictions: As of March 30, authorities in Canada are banning individuals displaying symptoms associated with coronavirus disease (COVID-19) from domestic air travel as part of the nation’s efforts to curb the spread of the disease. Travelers who are denied boarding will be barred from air travel for at least 14 days unless they can produce a medical certificate confirming that any symptoms are unrelated to COVID-19. These measures will remain in effect through at least May 20. Every province in Canada have their own COVID-19 restrictions in place fro customers wanting to fly […] The post Canada: Coronavirus (COVID-19) Impact on Business Aviation appeared first on Universal® Operational Insight Blog.

Canada: Coronavirus (COVID-19) Impact on Business Aviation

Canada

May 21, 2020

Restriction expiration: June 1, 2020.

General Restrictions: As of March 30, authorities in Canada are banning individuals displaying symptoms associated with coronavirus disease (COVID-19) from domestic air travel as part of the nation’s efforts to curb the spread of the disease. Travelers who are denied boarding will be barred from air travel for at least 14 days unless they can produce a medical certificate confirming that any symptoms are unrelated to COVID-19. These measures will remain in effect through at least May 20. Every province in Canada have their own COVID-19 restrictions in place fro customers wanting to fly into Canada.

Other Type of Flights Allowed:

Case by case approval.

– When you make your 1st initial call no earlier than 48 hours and no later than 2 hours prior to departure to present the details of the flight, CANPASS will determine if your travel is essential or not and will either approve or deny operations into Canada.

​- You are required to self-isolate for 14 days after arrival; however if your travel is deemed essential, it could be handled differently, (no guarantee) and you would not have to self-isolate for the 14 days, it all depends on what your business is for

– Must stress that each case is on a case-by-case basis

– If you do have to self-isolate, it cannot be with anyone over the age of 65, nor can it be with anyone that has a pre-existing medical condition

– Also, I asked if once you land into Canada, can you go to other airports, (again, that depends on if you have to self-isolate), the officer will determine if your travel is essential

Passenger Restrictions: Affected. Nonresident foreign nationals have not been allowed to enter the country since March 18, with the exception of aircrew members and diplomats, as well as immediate family members of Canadian citizens and US citizens traveling by plane for essential purposes. No person exhibiting COVID-19 symptoms are allowed to board planes flying to Canada, including Canadian citizens. All international flights to Canada – with the exception of trade and business flights, as well as flights from the US, Mexico, Caribbean, and St. Pierre and Miquelon – are landing only at Pearson International Airport (YYZ) in Toronto, Vancouver International Airport (YVR), Montreal Trudeau Airport (YUL), and Calgary International Airport (YYC). Canadian citizens and residents returning from abroad are being ordered to self-quarantine for 14 days. While authorities have not stipulated how long these measures will remain in effect, they will probably continue through at least the end of May.

ICAO Specific Information:

CYQX – Aircraft are not allowed to overnight there; crew and Pax must remain onboard during a fuel stop.  One crew member will be allowed to exit the aircraft to set the fuel panel or do walk around of aircraft, but must return to aircraft upon completion.

Newfoundland and Labrador: An aircraft can come into our province but only for a fuel stop. All crew and passengers have to remain on board, but we will allow one crew member to come off the aircraft if he/she has to set the fuel panel or do an inspection of the aircraft. There is no overnighting as our stores, restaurants and hotels are closed.  Our FBO is closed for the safety of the staff. Crew and passengers and staff will have very limited access to the aircraft. There will also be no lavs, catering, potable water, international trash removal at this time.

The post Canada: Coronavirus (COVID-19) Impact on Business Aviation appeared first on Universal® Operational Insight Blog.

Source : Universal Weather More   

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