Oneworld cockpit group hails LATAM pilots' strike authorisation
November 08, 2022
Pilots represented by the Oneworld Cockpit Crew Coalition (OCCC) have disclosed their support for LATAM Airlines Group's pilots, who voted last week to approve a strike action. The LATAM Pilots Union (SPL - Sindicato Pilotos LATAM) tweeted on 2 November that 99% of SPL pilots had voted to approve a strike action against the Chile-based group. "In the midst of the [Covid-19] crisis, LATAM implemented an adjustment that involved the dismissal of some 240 pilots, a 30% salary reduction and moving towards a variable salary model," SPL says. "What we are asking for is to recover the conditions that we had before the adjustment." OCCC stated on 7 November that it "voiced its strong support for the SPL-represented pilots of LATAM Airlines Chile in their efforts to improve pay and working conditions from their pandemic-driven lockdown levels". John Sluys, OCCC chair, says: "It is unfortunate that LATAM management continues its bad-faith bargaining tactics, particularly given the robust travel demand we’re now experiencing." OCCC is comprised of pilots from Oneworld alliance members Alaska Airlines, American Airlines, British Airways, Cathay Pacific, Finnair, Iberia, Japan Airlines, Qantas and Sri Lankan Airlines. LATAM terminated its Oneworld membership in May 2020. The group had disclosed in 2019 that it would leave the alliance after Delta Air Lines’ announcement in September of that year that it had invested $1.9 billion in the South American carrier, representing a 20% stake. The day after SPL's 2 November 2022 disclosure that LATAM's pilots had voted to approve a strike action, LATAM emerged from its US Chapter 11 restructuring process, with its reorganisation and financing plan taking effect. In August, LATAM released a revised five-year business plan that envisions revenue climbing to $11.5 billion in 2024 from $10.4 billion in 2019. The group said it expects to fly "a similar amount" of capacity by 2024 as it did before the Covid-19 pandemic in 2019. EBIT is targeted to reach more than $1 billion by 2024, compared with $700 million in 2019. Sluys of OCCC adds: "The professional pilots of SPL made great sacrifices to get the airline through the difficult times. It is time for management to do the right thing as the company is emerging from the storm… The pilots of OCCC-represented airlines are ready to support our colleagues in any way needed at LATAM and around the world." The strike authorisation vote by LATAM's pilots is one of several similarly themed actions taken recently by pilots' unions in the Americas. On 31 October, Delta's pilots represented by the Air Line Pilots Association (ALPA) voted to authorise its union to call a strike if contract negotiations with the carrier break down and certain legal conditions for a strike are met. United Airlines' pilots a day later voted to reject a tentative agreement on terms for a new contract nearly six months after ALPA had first signed an agreement in principle. ALPA hopes to hammer out a new agreement with United that reflects the carrier’s profitable second and third quarters of 2022. In 2 November, the Allied Pilots Association's board voted to reject a proposed tentative agreement for American's pilots.
SMBC Aviation Capital delivers final 737 Max 8 to Swoop
November 08, 2022
SMBC Aviation Capital has delivered another Boeing 737 Max 8 to Canadian ultra-low-cost carrier Swoop. The aircraft (MSN 42843) and associated engines were delivered to the WestJet's wholly-owned subsidiary from Victorville, California, the lessor says. The 737 Max 8 features two CFM International Leap-1B27 engines. This is the sixth and final aircraft delivering to the airline as part of the transaction.
LATAM exits Chapter 11
November 07, 2022
LATAM Airlines Group has emerged from its US Chapter 11 restructuring process, with its reorganisation and financing plan taking effect on 3 November as previously scheduled. The US bankruptcy court for the Southern District of New York on 18 June had approved the Chile-based group's reorganisation and financing plan. In accordance with the terms of the plan, LATAM's board will on 15 November hold an extraordinary shareholders' meeting to proceed with the "total renewal of the company’s board of directors", it states in a 3 November filing to the US Securities and Exchange Commission. LATAM and its affiliates in Chile, Peru, Colombia and Ecuador on 11 May 2020 filed for Chapter 11 amid a near-shutdown of global aviation in the early months of the pandemic. The group shuttered its Argentinian affiliate on 17 June, and on 9 July 2020 included its Brazilian affiliate in the Chapter 11 filing.