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Old 22nd Oct 2004, 15:22
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Flightwatch
 
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Possible Strike looming at Cyprus Airways

From the Cyprus Weekly 22-28 October.

Cyprus Airways pilots yesterday warned they would go so far as to ground planes if the debt ridden carrier’s management went ahead with plans to axe the post of 14 colleagues.

Strike action could be taken within this week if the Labour Ministry does not put a halt to the management’s controversial cost cutting survival plan, according to Efthymis Liasis of Pasipy – the pilots union.

“We will not accept the victimisation of any of our colleagues. If the Labour Ministry does not ask the management to withdraw this unacceptable proposal, the measures taken will be drastic and prompt”, he told the Cyprus Weekly.

Unpaid Leave
“We won’t even hold another general assembly. The union’s seven member committee is authorised by all it’s members to act spontaneously following the ministry’s reaction….they will let us know by the end of the week,” added Liasis.

He also accused the management of acting “arbitrarily” by already handing 12 of the 14 redundant pilots letters to inform them they would be given three years of unpaid leave plus three months of wages. The two other pilots have already found work elsewhere.

But Board Chairman Constantinos Loizides hit back saying the unpaid leave offer was actually better than just making them redundant, something unavoidable since 2 Airbus 320s will be mothballed on November 1st.

“The redundant pilots can, meanwhile, find jobs elsewhere but after 3 years, considering the carrier’s finances allow it, they will could come back to their old jobs. This is a commitment the company has made,” he said.

“This, I believe, is a fair deal and much better than just making them redundant. The original plan provided that 20 to 24 pilots would be made redundant but we managed to bring that down to 14,” he added.

Loizides repeated that the national carrier can no longer depend on state subsidies now that Cyprus has joined the EU.

The 135 employees, who will become surplus when the airline stops operating the two planes as a result of the axing of a number of loss-making routes, will come from all spectrums of staff – from pilots to catering employees.

Earlier this month 12 redundant managers left the company leaving behind a feeling of discontent and anxiety.

CA’s plan, which seeks to cut down on an estimated £40m debt and return to the black, involves some 400 redundancies.

Hellas Jet

But unions, which keep accusing the management of ‘victimisation’ of staff and ‘vindictive’ lay-offs, have also criticised the transfer of “business and property” belonging to CA to the EuroCypria and Athens based Hellas Jet subsidiaries.

Hellas Jet, which is suffering losses of around £1m a month, is seen as the chief cause of CA’s first pre-tax losses of £28m, these were announced in September.

The government, which is the main shareholder, keeps sending out the message that “lay-offs are unfortunate but unavoidable”.

The relevant ministries – that of Communications and Works as well as that of Finance – also called on the board to examine the best possible scenarios regarding the future of loss-making Hellas Jet.

The board has two options: either to sell it – if they find a prospective buyer in view of the world crisis among the airline industry, or close it down and bear all the costs.

Sounds like another state owned European Flag Carrier and it’s staff having a hard time coming to terms with the rules and regulations of the EU! - Flightwatch
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