Air Namibia (SW) has introduced a 50% salary cut for pilots, cabin crew and ground staff.
The salary cuts will come in effect for a three-month period running from September to November. It has been reported by local press that the affected pilots are long haul pilots and that the domestic pilots were spared from the cost saving measure.
Theo Mberirua the current Chief Executive Officer of Air Namibia wrote to the staff in a memo, notifying them that the airline was facing financial challenges. “Apart from funding and liquidity challenges, the fixed cost (aircraft leases, maintenance cost, salaries, fuel) including the fact that fixed cost far exceeds the revenue generated over the same period. This negatively affected the cash flow base of the airline, to the extent that continued domestic operations are jeopardised.”
The airline’s Flight Attendance Union expressed disgust at the move to cut salaries “Is the cut because the company is in a financial crisis and not making money or is the cut because we didn’t work? If the answer is because we didn’t work then my counter answer to that would be, I am not working because of the situation.”
Air Namibia is currently operating domestic flights and has scheduled regional charter flights between Windhoek and Johannesburg on 6 and 9 October.
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