The Management of AirPeace said the devastating effects of the COVID-19 pandemic on its operations and financial health was what led to the termination of employment of some of its pilots and salary slashed by 40 per cent.
This was according to a statement on Monday by the airline’s spokesman, Mr. Stanley Olise.
According to the statement the decision was taken for the greater good of the company and its almost 3000 workforce, the affected pilots inclusive.
Describing the sacking as “painful but rightful decision,” the airline’s management said the cutbacks were necessary to ensure that Air Peace survives the hardship of the times.
The spokesman’s communique further stressed that the decision was inevitable under the circumstances, adding that the move was made in order to protect the continuity of the majority of the existing jobs and the possibility of creating new ones in the future, as well as to ensure the survival of the airline.
Here is the statement in parts: “This decision was taken for the greater good of the company and its almost 3000 workforce, the affected pilots inclusive.
The airline cannot afford to toe the path of being unable to continue to fulfill its financial obligations to its staff, external vendors, aviation agencies, maintenance organisations, insurance companies, banks and other creditors hence the decision to restructure its entire operations with a view to surviving the times.”
“The pandemic has hit every airline worldwide so badly that it has become very impossible for airlines to remain afloat without carrying out internal restructuring of their costs.
Anything short of what we have done may lead to the collapse of an airline as could be seen in some places worldwide during this period.
Therefore, we decided to review the salaries being paid to all staff. The new salaries reflect a 0%-40% cut of the former salary depending on the salary grades of every staff. Even after the cuts, it was obvious that for us to be able to sustain our operations and survive the times, some jobs must inevitably have to go.
“The decision is a reflection of the negative impact of the pandemic on airlines and aviation worldwide. We are in trying times.
Even the biggest airlines in Europe, America, Middle East, Asia, Australia and, indeed, Africa, are all either slashing jobs and cutting salaries in order to remain afloat or are shutting down.
Air Peace is not immune from these challenges.”
