A330 integration
When we bought KA back in 2006, our main aim was maximise the synergies between the two airlines as well as maximise returns from the two airlines. As part of the Swire tradition we have carried out this out steadfastly and rather quickly.
We have integrated all KA office staff into CX and we have recently integrated the KA freighter fleet, rather effortlessly and obstacle free. Although we believed that the KA Pilot group had a case against us with reference to TUPE, we have prove again that we can circumvent the legislations and the law and get away with it.
Despite some COS obstacles, our next step is to integrate the KA A330 fleet into CX.
Just to recap the current situation, we have an identical aircraft type within the Cathay Pacific Group operated by 2 different pilot group. This presents alot of inflexibility, a does not bide well with our "maximising synergy concept because:
1. The KA A330 fleet is under utilised, especially at night;
2. Both A330 fleets are undermanned hence some last minute cancellation of flights at KA occuring frequently, and last minute redeployment of different aircraft type at CX where the A330 would have been optimal;
3. Just to expand on point 2, integrating the KA A330 fleet will remove the current 'costly' constraint of a number of aircraft and pilots being essentially only able to operate China routes. With this constraint removed we would've solved the undermanning issue even if its temporary. Less pilots are required per aircraft due to the increased flexibility, which upmost importantly means Reduced Cost, and achieving great financial returns which goes hand in hand with our 'New Vision'.
Having stating the obvious today, the next update will consist of how we will integrate the 2 pilot groups, COS issues (which we will circumvent or plainly ignore) and discuss the A320 and KA AOC retention in more detail.
I wish you all a pleasant week.
Integration Manager