The Canadian aerospace industry is appealing for federal aid after the Canadian government released an economic stabilisation plan that makes no mention of the aerospace sector. The plan, released 8 July, reviews the country’s strategy for dealing with the economic fallout of the coronavirus pandemic. The plan notes Canada has committed more than C$212 billion ($156 billion) in direct support to citizens and businesses, and made C$600 billion available to help businesses access credit. But the country’s aerospace sector says the plan falls short and fails to recognize the strategic and economic importance of the sector to the country. The industry is asking for additional, industry-targeted aid, warning that without such support Canada’s aerospace industry could lose its competitive edge. “We are advocating the urgent need for a specific strategy dedicated to our sector that will accelerate the recovery, while emphasising that this cannot be achieved without the help of the federal government,” Aero Montreal president Suzanne Benoit says on 9 July. The government’s economic plan “makes no reference whatsoever to measures that would allow the aerospace industry to emerge from this crisis,” adds Aero Montreal. National trade group Aerospace Industries Association of Canada (AIAC) made a similar plea. “While our major competitor countries have implemented sector specific plans and recovery measures, Canada has resisted,” the group says. “If the government partners with our industry, recognising the strategic importance we bring to the table… we will be in a position to help Canada overcome its massive deficit.” “There are real consequences for Canada’s lack of action,” AIAC adds, noting Canada’s aerospace industry employs more than 215,000 workers and contributes some C$25 billion in annual GDP. Reached for comment, AIAC did not provide details about the specific government aid it seeks. Aero Montreal, which represents the industry in Quebec – home to Bombardier, an Airbus facility and a swath of suppliers – did not respond to a request for details. AIAC cites France and the USA as countries whose governments have recently supported aerospace with financial aid packages.

Source: Cirium

Air Mauritius has put three Airbus widebodies and two single-aisle aircraft up for sale, weeks after entering voluntary administration amid the Covid-19 crisis. In a procurement notice on its website, the airline says it is selling two A340-300s (MSNs 194 and 268), one A330-200 (MSN 1057) and two A319s (MSNs 1592 and 1936). The A340s were built in 1997 and 1999, while the A330 is a 2009 example. The narrow bodies were manufactured in 2001 and 2003. The closing date for interested parties is 11 August. Air Mauritius took delivery of its first Airbus A330-900 last year, and now operates two of the aircraft along with A350s, A340s and the older A330s, as well as the two Airbus narrow bodies and three ATR turboprops.

Source: Cirium

United Airlines has warned 36,000 employees, or 45% of its total staff, that their jobs may be in danger as the carrier prepares to downsize following the coronavirus pandemic. Affected workers whose roles may be impacted later this year include flight attendants, pilots, gate agents as well as customer service, contact center, catering, network operations and maintenance employees, executives at the Chicago-based airline tell journalists on 8 July. “The involuntary furloughs that we worked so hard to avoid are now the last option left to protect the long-term interests of the company and the long term prospects for thousands of United employees,” one United executive says in a media briefing call. The executive declined to be named. That said, the airline will continue to offer voluntary leave and early exit packages to all employees, and the actual number of furloughs the airline will need to make in the fourth quarter will depend on the uptake of these packages as well as the return of passenger demand. But that won’t likely happen until there is an effective therapy for coronavirus, or a vaccine, or both, they add. So far, about 26,000 employees per month have taken voluntary leaves or participated in plans to reduce work hours, which have been offered on a month-by-month basis, and have helped the airline reduce cash burn to $40 million per day. Some 3,700 employees have decided to leave the company completely, United says. The breakdown of potential furloughs includes: 15,000 flight attendants, 11,000 customer service and gate agents, 800 catering employees, 1,000 contact center employees, 225 network operations employees, 5,500 maintenance employees and 2,250 pilots. Most of the furloughs will be based upon seniority status, executives say, and employees will be informed if they are being furloughed by mid- to late-August.

Source: Cirium