Easyjet to close Madrid
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Easyjet to close Madrid
what's going on in the orange world? 8 aircrafts and more than 300 staff to be moved.. Guess it will slow things in Easyland.. 
EasyJet Will Close Madrid Base as Profitability Suffers in Spain - Businessweek
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Latest news - easyJet plc
easyJet today announced that after a thorough review of its Madrid operations it proposes to cease basing crew and aircraft at Madrid from Winter 2012/13. easyJet intends to continue to serve Spain but to do so differently by moving its aircraft to other easyJet bases around its European network which will deliver higher returns for the airline.
The Madrid base is delivering returns below all of easyJet’s other bases. This is due to a combination of over capacity in the Spanish airline market, leading to low revenue per passenger, combined with high airport charges which have more than doubled in the last two years and will be subject to further above inflation increases in the coming years.
easyJet remains committed to Spain, including Madrid, and will continue to fly to and from Spain out of its bases across Europe. While easyJet proposes to reduce its capacity to and from Madrid by around 20% in the next financial year, the reduction to and from Spain will be 7%. After the proposed changes easyJet expects to carry over 12 million passengers to and from Spain next year.
70% of passengers on easyJet’s Spanish flights start their journey from other parts of Europe and demand from these passengers remains strong. Madrid based customers will also continue to benefit from easyJet’s services after the proposed transfer as easyJet will operate to Madrid from many of Europe’s most popular cities. easyJet operates over 200 aircraft across 23 bases in the UK and mainland Europe.
The airline is now reviewing a range of options for its eight Madrid based aircraft and 310 crew. All of easyJet’s pilots and cabin crew in Madrid will be offered a job in the airline’s other bases and easyJet hopes to retain as many of its people as possible. easyJet will discuss the proposal with the easyJet European Works Council and the local employee representatives as appropriate.
Any restructuring costs arising out of this proposal will be accounted for in the current financial year. The market price of jet fuel has fallen since easyJet’s outlook statement set out in its Half Year Results statement of 9 May 2012. Assuming the current fuel price environment continues for the remainder of the year, the benefit from lower fuel prices should fully offset any restructuring costs. Consequently management expectations for profit before tax for the financial year ending 30 September 2012 remain unchanged.
easyJet expects its capacity to increase by around 5% in the year ending September 2012, compared to 2011, and to continue to grow in the next financial year. easyJet's strategy of low fares and our focus on making it easy for our customers, aligned with tight cost management and strictly managed allocation of capital, ensures that easyJet is well positioned to deliver good results for shareholders.
easyJet today announced that after a thorough review of its Madrid operations it proposes to cease basing crew and aircraft at Madrid from Winter 2012/13. easyJet intends to continue to serve Spain but to do so differently by moving its aircraft to other easyJet bases around its European network which will deliver higher returns for the airline.
The Madrid base is delivering returns below all of easyJet’s other bases. This is due to a combination of over capacity in the Spanish airline market, leading to low revenue per passenger, combined with high airport charges which have more than doubled in the last two years and will be subject to further above inflation increases in the coming years.
easyJet remains committed to Spain, including Madrid, and will continue to fly to and from Spain out of its bases across Europe. While easyJet proposes to reduce its capacity to and from Madrid by around 20% in the next financial year, the reduction to and from Spain will be 7%. After the proposed changes easyJet expects to carry over 12 million passengers to and from Spain next year.
70% of passengers on easyJet’s Spanish flights start their journey from other parts of Europe and demand from these passengers remains strong. Madrid based customers will also continue to benefit from easyJet’s services after the proposed transfer as easyJet will operate to Madrid from many of Europe’s most popular cities. easyJet operates over 200 aircraft across 23 bases in the UK and mainland Europe.
The airline is now reviewing a range of options for its eight Madrid based aircraft and 310 crew. All of easyJet’s pilots and cabin crew in Madrid will be offered a job in the airline’s other bases and easyJet hopes to retain as many of its people as possible. easyJet will discuss the proposal with the easyJet European Works Council and the local employee representatives as appropriate.
Any restructuring costs arising out of this proposal will be accounted for in the current financial year. The market price of jet fuel has fallen since easyJet’s outlook statement set out in its Half Year Results statement of 9 May 2012. Assuming the current fuel price environment continues for the remainder of the year, the benefit from lower fuel prices should fully offset any restructuring costs. Consequently management expectations for profit before tax for the financial year ending 30 September 2012 remain unchanged.
easyJet expects its capacity to increase by around 5% in the year ending September 2012, compared to 2011, and to continue to grow in the next financial year. easyJet's strategy of low fares and our focus on making it easy for our customers, aligned with tight cost management and strictly managed allocation of capital, ensures that easyJet is well positioned to deliver good results for shareholders.
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Will madrid guys remain under spanish working contract or will they be offered a sh1t portugese or english contract??
They might loose 35% income as well as their house and family in Spain.
No doubt MOL will find a solution to offer a madrid base to those people willing to pay for a B737-800 type rating with a crap contract.
They might loose 35% income as well as their house and family in Spain.
No doubt MOL will find a solution to offer a madrid base to those people willing to pay for a B737-800 type rating with a crap contract.
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Stupid enough to commute on a 5453 roster with loss of salary, pension, etc.
BTW, do they do nice paella and cerbesa in liverpool or stansted?
BTW, do they do nice paella and cerbesa in liverpool or stansted?
Last edited by wind check; 21st Jun 2012 at 07:59.
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Madrid was a very good deal, especially for the UK expats, that got even better after the Euro strengthened.
A vast leave quota that no ther base got and a mysterious "performance bonus" that no other base received.
Dortmund was too good to be true.
East Mids was too good to be true.
and now Madrid has become too good to be true.
Sad to see it go for the crews and good luck to my former mates and colleagues
Wonder if they'll have to re-join the company on a flexi-crew basis
- just kidding..!!
A vast leave quota that no ther base got and a mysterious "performance bonus" that no other base received.
Dortmund was too good to be true.
East Mids was too good to be true.
and now Madrid has become too good to be true.
Sad to see it go for the crews and good luck to my former mates and colleagues
Wonder if they'll have to re-join the company on a flexi-crew basis
- just kidding..!!
Last edited by Craggenmore; 21st Jun 2012 at 08:57.
Iver, I've been in Madrid for 4 years, Nightlife ok, Food crap, women average, ATC USLESS, OPERATIONS USELESS, Long taxi, slow spanish striking aircraft, holds, slots - continuous sub standard service in what they all believe is a world beater of an airport.....Madrid airport is so inefficient it's no wonder easy want to leave!
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VJW,
I guess one's perspective is relative.... If you lived where I live and you worked my flying job, sunny Madrid would be a big improvement. Every time I have visited Madrid I have enjoyed it - but I guess visiting is different than actually living there.
Hope you are able to find another pilot base that works better for you.
I guess one's perspective is relative.... If you lived where I live and you worked my flying job, sunny Madrid would be a big improvement.
Every time I have visited Madrid I have enjoyed it - but I guess visiting is different than actually living there.Hope you are able to find another pilot base that works better for you.
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Surprised?
I'm afraid to say that I do not consider this a surprise.
Spain is in a hole, almost a death spiral if the Bond market is correct.
Unemployment is rampant, debt high and wealth diminishing.
easyJet pilots have been quick in the past to point out just how good a deal they are on at MAD.
The race to the bottom is on, and easyJet are contenders unfortunately.
I feel genuinely sorry for those displaced staff, but this is not really a surprise IMHO. The facts are: the cost base is too high for the customer base.
No doubt, easyJet will re-enter MAD with based aircraft and crews in a while. But, I'm certain the contracts will be much more like the LIS base contracts, as opposed to the current generosity of the MAD contracts. This would rebalance their ability to compete in the MAD market.
Spain is in a hole, almost a death spiral if the Bond market is correct.
Unemployment is rampant, debt high and wealth diminishing.
easyJet pilots have been quick in the past to point out just how good a deal they are on at MAD.
The race to the bottom is on, and easyJet are contenders unfortunately.
I feel genuinely sorry for those displaced staff, but this is not really a surprise IMHO. The facts are: the cost base is too high for the customer base.
No doubt, easyJet will re-enter MAD with based aircraft and crews in a while. But, I'm certain the contracts will be much more like the LIS base contracts, as opposed to the current generosity of the MAD contracts. This would rebalance their ability to compete in the MAD market.
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ezydriver,
You are absolutely correct in that the main problem is, of course, the Spanish economy.
My observation is that in years to come, I imagine that easyJet may return to MAD. In those circumstances, I suspect they will be less generous towards the staff.
I hope everyone who is affected is, at the very least, ensured ongoing easyJet employment elsewhere within the network - I am optimistic that they will be.
You are absolutely correct in that the main problem is, of course, the Spanish economy.
My observation is that in years to come, I imagine that easyJet may return to MAD. In those circumstances, I suspect they will be less generous towards the staff.
I hope everyone who is affected is, at the very least, ensured ongoing easyJet employment elsewhere within the network - I am optimistic that they will be.
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I lived in Madrid for two very happy years. That was during the boom, and it was a fabulous place to live, the only downsides being the noise, traffic and pollution, but probably no worse than many other big cities, and the public transport was excellent and cheap, so were the taxis.
The boom is over, Spain is now bust and heading for the abyss. It's also awash with illegal immigrants although I suspect they will move on to greener pastures.
Very sad - socialism and the EU have ruined a great country.
The boom is over, Spain is now bust and heading for the abyss. It's also awash with illegal immigrants although I suspect they will move on to greener pastures.
Very sad - socialism and the EU have ruined a great country.
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I wouldn't say the food is crap in Madrid because you can get excellent food there, but in general the further one gets from Madrid, the better the food is and Castillian fare is pretty bland. Fortunately Madrid is full of restaurants offering regional Spanish food and South American type steakhouses.