Lufthansa and the pilots' union reach a deal in wage dispute; strike averted

Radhika Bansal

07 Sep 2022

German airline Lufthansa and pilots' union VC said on Tuesday, September 6 they had reached a deal in a wage dispute, averting a second strike that had been planned for later this week.

The agreement comes after a strike at Lufthansa last week forced the cancellation of hundreds of flights, further plaguing a summer of travel chaos.

The Vereinigung Cockpit (VC) pilots' union said it had agreed based on a comprehensive package of monetary and structural issues which would be fleshed out in the next few days. It gave no further details but said it was sufficient for a strike due to begin on Wednesday, September 7 to be called off.

Lufthansa and the pilots' union reach a deal in wage dispute; strike averted

"We are pleased that a result was reached at the negotiating table and that further disruption for customers, employees and companies could be avoided. Today important first steps have been taken towards long-term cooperation," said Marcel Groels, responsible for the union's collective bargaining policy.

Passenger plane pilots had been due on strike on Wednesday, September 7 and Thursday, September 8, and cargo pilots from Wednesday through Friday, according to the union, which groups more than 5,000 pilots.

Lufthansa, which had earlier said it would make an improved offer, said the agreement meant flights could take place as planned in the next few days.

VC had demanded a retroactive pay rise of 5.5% from July 1 as well as a pay increase of 8.2% in 2023 in response to inflation.

"We are pleased we were able to solve constructive talks with the Vereinigung Cockpit pilots' union," the national carrier said in a statement, giving no details of the deal.

VC had demanded a retroactive pay rise of 5.5% from July 1 as well as a pay increase of 8.2% in 2023 in response to inflation.

The airline says those measures would increase its staffing costs by about 40%, or around 900 million euros over two years. It has instead offered a one-off increase of 900 euros, amounting to a 5% increase for senior pilots and an 18% increase for those starting the profession.

A pilots’ strike by Lufthansa on September 2 had led to almost 800 flights being cancelled, affecting nearly 1.3 lakh passengers. Delhi Airport had witnessed protests from about 700 passengers - almost all Canada-bound students - who were to fly to Frankfurt and Munich that night.

Lufthansa says those measures would increase its staffing costs by about 40%, or around 900 million euros over two years.

ALSO READ - Lufthansa pilots strike impacts 700 passengers at Delhi airport

While they protested inside the terminal, their relatives and friends blocked the entrance at T3. The police had to intervene that night to restore traffic flow at the terminal. With outbound student travel season on in full swing in India, a two-day strike could lead to more such situations over the next 2-3 days.

Lufthansa has been among European carriers facing strike calls in the past few months by various sections of organised employee unions like ground staff, cabin crew and pilots.

European airports have been a mess this entire summer as they were unable to handle the sharp revival in travel due to reasons like employee shortage and then strikes.

(With Inputs from Reuters)

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Peiter Elbers takes over as the new CEO of IndiGo

Radhika Bansal

07 Sep 2022

Aviation industry veteran Peiter Elbers assumed the charge of Indigo's chief executive officer on September 6, over three months after he was announced as the replacement for outgoing CEO Ronojoy Dutta.

"Petrus Johannes Theodorus Elbers has joined as chief executive officer of the company with effect from today, September 6, 2022," the private Indian carrier said in an exchange filing.

Elbers, who spent three decades at KLM Royal Dutch Airlines, replaces Ronojoy Dutta at the top post. Elbers’ choice as CEO for IndiGo was strategic as a result of his experience in growing worldwide hubs at residence airports.

Peiter Elbers takes over as the new CEO of IndiGo

“Earlier, IndiGo communication summarised it all in just three words: ‘Towards new heights’ and-let me add here: ‘across new frontiers. With that vision in mind, you should feel assured that the coming years will be among the most exciting of your professional lives,” Elbers said.

ALSO READ - IndiGo appoints Pieter Elbers as new CEO after Ronojoy Dutta decides to retire by September

Elbers, the former chief executive of KLM Royal Dutch Airlines, was named as the next CEO by IndiGo on May 18, 2022. He has been at the helm of KLM since 2014. The 52-year-old is also a member of the executive committee of the Air France – KLM Group.

ALSO READ - Air France-KLM and IndiGo officially launch their codeshare agreement

"What IndiGo’s employees and leadership have jointly built, since its start 16 years ago, is, by any standard, truly impressive. I am very honoured and do look forward to building upon this, working together with the entire IndiGo team. I am delighted to become a part of the next stage of IndiGo’s incredible journey, further fulfilling the vision of what the airline can do and will be for its customers and India."Peiter Elbers, CEO, IndiGo

Elbers had started his career in 1992 with KLM and, over the past three decades, held several managerial positions in the company in both the Netherlands and overseas in Japan, Greece and Italy.

With Elbers assuming the charge, the three-year stint of Dutta as IndiGo's CEO has formally concluded. The 71-year-old led the carrier through the turbulent period of COVID-19. In the post-pandemic period, the airline continues to maintain its dominating position in the Indian market.

ALSO READ - IndiGo CEO consents 2-year non-compete post his retirement in September

Ronojoy Dutta, the outgoing CEO of IndiGo, has agreed to an enhanced non-compete for two years as against one year earlier, the company had said on 30 August, against accelerated bonus and amount instead of stock options.

Elbers had started his career in 1992 with KLM and, over the past three decades, held several managerial positions in the company in both the Netherlands and overseas in Japan, Greece and Italy.

The non-compete clause says Dutta shall not engage with any business or allied business that is in any way similar, identical or competitive and will not engage in the Indian aviation sector or provide consultancy services to an entity engaged in Indian aviation.

Dutta was relieved of his duties on 5 September, and not on 30 September as informed by the airline earlier, a company official said. In fact, Dutta agreed to a shorter notice period as per the request of the management.

Elbers got here to India on 4 August and was a part of IndiGo’s 16th-anniversary celebration. Since then, he has been working with Dutta as a part of the hand-holding course.

Elbers got here to India on 4 August and was a part of IndiGo’s 16th-anniversary celebration.

At present, IndiGo commands over half of the domestic market share. With 276 aircraft and over 1,500 daily flights, it is also among the largest airlines in the world. As of March, IndiGo had over 26,000 employees.

The airline currently serves 74 domestic and 26 international destinations. It is flying approximately 1,600 flights a day at present, of which 150 are international. It operates international flights from 16 airports across India.

In July 2022, the airline carried 57.11 lakh passengers, amounting to a 58.8% share of the domestic market, as per the monthly numbers released by the Directorate General of Civil Aviation (DGCA).

ALSO READ - IndiGo reports net loss of INR 1,064 crore in Q1

The airline also narrowed its consolidated net loss to INR 1,064 crore for the quarter ended June 2022 from INR 3,174.2 crore in the year-ago period.

IndiGo currently serves 74 domestic and 26 international destinations. It is flying approximately 1,600 flights a day at present, of which 150 are international.

The airline is also facing supply chain constraints, which have resulted in delays in the delivery of aircraft and engines. Yet, the airline plans to deploy 13% higher capacity than pre-Covid time in the 2022-23 financial year.

The airline has considered opting for wide-body aircraft for long-haul international flight operations multiple times in the past. While the wide-body discussions have not been fructified in the past, the airline has created a strong network of medium to short-distance global routes using its narrow-body aircraft.

ALSO READ - IndiGo plans to have a business class on Airbus A321 XLR

The airline, which plans to induct Airbus’ lengthy vary slender physique plane A321 XLR ranging from mid-2024, has plans to function in several European cities like Barcelona, Rome, Moscow, and Milan from its hub airport at Delhi.

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Flight operations at Kempegowda International Airport return to normal

Jinen Gada

07 Sep 2022

Flight operations at Bengaluru's Kempegowda International Airport, which were affected due to the heavy rainfall, have returned to complete normalcy since Monday, a spokesperson said on Tuesday.

Torrential overnight rain on Sunday severely impacted the normal life in the city, with overflowing lakes and stormwater drains inundating several low-lying areas.

"But from yesterday (Monday morning), it is all back to normal at the airport. There has been no disruption, no delays or diversion, whatsoever since Monday."A spokesperson told.

Low visibility and unfavourable weather conditions on Monday morning delayed as many as nine flights at KIA, while around six other flights were diverted to the Chennai airport, as per the Bangalore International Airport Ltd (BIAL).

As many as six flights were diverted to Chennai airport because of low visibility, while another nine services were delayed for less than 20 minutes, as per the Bangalore International Airport Ltd (BIAL).

Flight operations at Kempegowda International Airport return to normal

This all happened within two hours -- between 1 am and 3 am on Monday, the spokesperson said and added that none of the international flights got delayed. The airport reportedly received 109 mm of rainfall between 11.30 am and 4 pm on Sunday.

Bengaluru international airport, which is the largest aerodrome in the southern region, and which is managed and operated by the Canadian NRI Prem Watsa-owned Fairfax, crossed the 250-million passenger mark in its 15th year of establishment in addition to handling two million aircraft movements during the period in June this year.

ALSO READ - Bangalore International Airport surpasses 250 million passenger count

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High demand for private jets throws carbon emission goals talks out of the window

Jinen Gada

08 Sep 2022

The business has been booming for some time for major private jets manufacturers, to the extent that firms have been unable to keep pace with skyrocketing demand since the onset of the coronavirus pandemic.

Last year, private plane use soared to its highest level on record. Aviation data research firm Wingx recorded 3.3 million business jet take-offs in 2021, the most for a single year and 7% more than the previous high in 2019.

Private jets are, by far, the most inefficient way to travel, and many have pointed out the hypocrisy of turning up to a summit on climate change on something that is contributing to its very cause.

Private jets are responsible for around 4% of all aviation emissions, according to a 2016 study.

Private jet demand has boomed during the pandemic as the wealthy took control of their travel. Yet, the luxury flight could have a limited runway as some buyers spend beyond their means and the sector presents a prime target for climate critics.

"A huge amount of fuel is used during takeoff and landing of a plane, no matter how many people you have on board. So an already polluting mode of transport (commercial aviation) becomes even worse (with private jets)."Dr Debbie Hopkins, an expert in decarbonising transport at University of Oxford.

Private jets are unable to burn 100% sustainable fuels, which are normally made from biofuels. However, manufacturers, such as Boom Supersonic and Rolls Royce, are developing jet engines to burn 100% sustainable fuels.

This criticism around private jets comes as new research shows the luxury lifestyles of the wealthiest 1% could jeopardize targets to limit global warming to 1.5 degrees.

A single private jet can emit two metric tons of carbon dioxide in just one hour.

Per capita, the richest 80 million people in the world will account for 16% of total emissions globally by 2030, up from 13% in 1990.

The carbon emissions of an 11-minute space flight are estimated to be at least 75 tons. Private jets generally produce significantly more emissions per passenger than commercial flights.

The study, commissioned by Oxfam, says the wealthy would need to cut their emissions by 97% so the world can stay on track to keep global warming below 1.5 degrees, as pledged in the 2015 Paris Agreement.

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First test flight conducted at Goa’s new Mopa International Airport

Jinen Gada

07 Sep 2022

The first test flight was flown at Goa’s Mopa International Greenfield Airport on Monday under the supervision of the Directorate General of Civil Aviation (DGCA) officials. The officials utilised an IndiGo aircraft for the purpose, which taxied down on the runway.

Mopa International Airport has been developed by GMR Airports Limited subsidiary GMR Goa International Airport Limited (GGIAL).

Recently, Goa Chief Minister Pramod Sawant said that the work of the new Mopa Greenfield International Airport will be completed by October 23 this year.

https://twitter.com/BJP4Goa/status/1566781232566120450

The airport has been developed by GMR Airports Limited subsidiary GMR Goa International Airport Limited (GGIAL). It is based on public private partnership (PPP) model, based on a design, build, finance, operate and transfer (DBFOT) basis. This airport will be a full-service airport catering to both domestic and international passengers besides providing freight services.

"Today a commercial flight of Indigo Airlines A320 aircraft, which came from Mumbai onboard DGCA officials, successfully landed at Mopa Airport new runway." Goa Chief Minister Pramod Sawant said on Twitter.

The airport offers facilities like an integrated passenger terminal building, cargo terminal, emergency services, flight catering, vehicle parking, reserved services and aircraft fuelling infrastructure among others. Experts believe that the airport will bolster demand for second homes in the coastal state.

First test flight lands at Mopa International Airport.

Savills India was quoted as saying by news agency ANI, “One of the reasons for the interest in Goa is that the state has made significant progress in the last couple of years.”

Before Mopa airport became functional, all national and international flights for Goa were handled at the Dabolim airport, which is also a naval base.

Only 70 flights land at the Dabolim airport daily since no flight landing is allowed between 9:00 am to 2:00 pm. After the Mopa airport becomes functional, the number of flights landing in Goa is likely to go up to 150.

ALSO READ - 75% of work on the international greenfield airport at Mopa has now been completed

(With Inputs from Business Today)

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European flights impacted by the French air traffic controllers' strike

Radhika Bansal

17 Sep 2022

European Airlines cancelled half of the flights scheduled for Paris on Friday, September 16 and many others that would have flown over France, as a strike by air traffic controllers imposed the latest round of disruption on European air travel.

More than 400 flights departing from or arriving at Paris Charles de Gaulle and Paris Orly airports had been cancelled, and about 200 had been delayed, by midday on Friday, according to FlightAware, which provides flight tracking data. Hundreds of flights to and from Lyon, Nice, Marseille, Bordeaux and Toulouse had also been cancelled or delayed.

”It is inexplicable that thousands of European citizens/visitors will have their travel plans unfairly disrupted by yet another French ATC (air traffic control) strike,” Ryanair said in a statement. The travel plans of 80,000 passengers had been affected when it had cancelled 420 flights, mainly intended to fly over France, the airline added.

More than 400 flights departing from or arriving at Paris Charles de Gaulle and Paris Orly airports had been cancelled, and about 200 had been delayed, by midday on Friday

Strikes and staff shortages in the past few months have forced airlines to cancel thousands of flights, dashing hopes for a sizzling first summer following widespread COVID-19 lockdowns, with disruption continuing into the autumn.

Air France said on Wednesday, September 14 that due to the then impending strike it would operate only 45% of its short and medium-range flights and 90% of its long-haul flights.

”Everything is very quiet, as the passengers had been warned and did not go to the airports,” a spokesperson of Groupe ADP, operator of the Parisian airports said. The spokesperson added that airlines had tended to cut short and medium services rather than long ones.

Low-cost carrier EasyJet said it had cancelled 76 flights due to the strike.

Aviation authority DGAC asked airlines to halve their Friday flight schedules. Air traffic control union SNCTA in a statement cited inflation and its demand for more staff members as reasons for the walkout.

Low-cost carrier EasyJet said it had cancelled 76 flights due to the strike. British Airways said it had made a small number of changes to its short-haul schedule and is offering rebooking and refund options to customers whose flights have been cancelled.

Major airports in neighbouring countries also felt the impact, with Spanish airport operator AENA saying it had been forced to cancel 65 flights.

Disruption was also expected on Monday, September 19 as London's Heathrow airport said some flights would be cancelled or delayed to keep airspace silent during events to mark the funeral of Queen Elizabeth II.

In late July, Lufthansa Airlines cancelled virtually all its flights in and out of Frankfurt and Munich over 48 hours after around 3,000 employees staged a strike for better wages.

In Europe, strikes over the summer have disrupted travel plans, just as the end of restrictions related to the coronavirus pandemic has led to a surge in demand for air travel.

ALSO READ - Lufthansa and the pilots’ union reach a deal in wage dispute; strike averted

In late July, Lufthansa Airlines cancelled virtually all its flights in and out of Frankfurt and Munich over 48 hours after around 3,000 employees staged a strike for better wages. The strike left more than 130,000 travellers without flights.

Companies have also had to contend with labour shortages, after having laid off baggage handlers and ground crews when air travel was grounded because of the pandemic. Job vacancies among airport staff have led to long lines at airports and have caused flight cancellations, delays and frustration.

(With Inputs from Reuters, and The New York Times)

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