SAA maintenance arm reinstates service to house carriers
October 05, 2020
South African Airways’ maintenance arm, SAA Technical, has started reinstating its services after suspending them to four customers over outstanding payments. It says it has reached an agreement with two of these customers – SAA itself and sister carrier Mango – but is still holding talks with the other two. SAA Technical chief executive Adam Voss says the company is seeking “resolution and settlement” on the issue. “The decision we took to suspend services to our customers was not taken lightly,” he adds. Voss points out that the maintenance firm’s staff had been “adversely impacted” by cash-flow problems, and paid only 25% of their salaries in September, and the company needed to protect its commercial interests. Suspension of aircraft services to SAA was lifted on 30 September, after making payments, and that against Mango on 2 October. The maintenance firm says it is discussing with unions the balance of payments for workers’ September salaries. “We know that many of our customers were not able to trade and generate much-needed revenue to pay for services rendered,” says Voss. But he adds that customers will have to provide “upfront payment” for SAA Technical work. “Discussions are ongoing with all affected customers to find solutions on how to address the legacy issues that resulted in the suspension of the maintenance services,” the company states.
Source: Cirium
IATA calls on US jurisdictions to ditch quarantines
October 02, 2020
Aviation trade group IATA has called on US jurisdictions to eliminate quarantine requirements imposed to prevent the spread of the coronavirus, advocating instead for systematic pre-departure testing protocols. “Mandatory arrival quarantines for air travellers have the same effect as outright border closures,” Peter Cerda, IATA’s regional vice-president for the Americas, said on 1 October. He adds that such restrictions will continue discouraging discretionary travel and prevent the industry from getting back on its feet. Instead of implementing job-destroying arrival quarantines, states should be encouraging the federal government to work with other governments to implement systematic pre-departure testing,” Cerda says. IATA says 64% of travellers surveyed agree that quarantines are unnecessary for those testing negative, and 80% are prepared to take pre-departure coronavirus tests. Just over half of respondents say the virus is in check enough to reopen the USA to foreign visitors. In March, the government halted all foreigners from entering the USA, leaving the border only open to citizens and permanent residents. But as the pandemic drags on, the virus is spreading unevenly across the country. Some states have been able to keep it in check with lockdowns and slow reopening's, while others have experienced surges in recent weeks. The New York City region and isolated Hawaii Islands are two areas that require 14-day quarantines for inbound passengers, effectively choking off tourism activity for the past several months Hawaii, for which tourism from both US and foreign visitors is an key part of the economy, will ease quarantine requirements on 15 October. If a passenger shows proof of a negative coronavirus test that is not more than 72h old they can bypass the mandated quarantine. This has prompted both Hawaiian Airlines and United Airlines to ramp up their schedules between the islands and the US mainland. New York, meantime, still requires self-isolation for passengers arriving from 34 other US states. Monitoring quarantined passengers remains a challenge for all jurisdictions, leading experts to question the effectiveness of such measures. Numerous airlines have introduced pre-departure screening programs aimed at encouraging customers to book travel in the coming weeks. The important Thanksgiving holiday long weekend, among the USA’s busiest travel weekends, is just eight weeks away. “These and other airline-led testing programs will provide valuable experience while the numbers of travellers are still low, so that testing can be efficiently ramped up as demand returns,” IATA adds. “Establishing systematic pre-departure testing is the key to unlocking global connectivity, stimulating battered economies, and giving hope to the 10% of the global workforce whose livelihoods depend on travel and tourism,” the trade group says.
Source: Cirium
United begins furloughs of more than 13,000 employees
October 02, 2020
United Airlines has immediately begun the process of laying off more than 13,000 employees from its workforce after the 30 September expiration date of restrictions related to the US CARES Act payroll-support program passed. The Chicago-based airline intends to furlough 1,995 employees in airport operations; 313 in catering operations; 389 in contact centers; 6,939 in in-flight services; 1,400 in management and administrative roles; and 2,241 in technical operations. Involuntary furloughs of 155 employees at United's network operations centre could be delayed or cancelled if the members of the aircraft dispatchers' union ratify a letter of agreement by 7 October. In late September, United's pilot union ratified an agreement that will delay involuntary furloughs of pilots until June 2021. United had stated on 28 August that it would furlough 2,850 of its 13,000 pilots by the end of 2020, beginning after 30 September. United's chief executive Scott Kirby, along with other aviation executives, met with White House and Congressional leaders on 17 September in an attempt to persuade them to extend the US CARES Act's payroll-support program. As of 1 October, a new coronavirus relief package encompassing a PSP extension is still being negotiated in Congress. "In a continuing effort to give the federal government every opportunity to act, we have made clear to leadership in the [presidential] administration, Congress and among our union partners that we can and will reverse the furlough process if the CARES Act payroll-support program is extended in the next few days," United stated on 30 September. "We implore our elected leaders to reach a compromise, get a deal done now and save jobs."
Source: Cirium