PILOTS at ailing state carrier Cyprus Airways (CY) disagreed yesterday with a restructuring proposal, which includes a bigger contribution for their members, on the grounds the plan was not viable.
CY’s other unions have agreed to staggered wage cuts starting at 7.0 per cent for up to €1,000 a month and reaching 20.5 per cent for over €6,000 a month.
It is understood that the majority of high earners – the pilots- earn closer to €9,000 and €10,000 a month, and that about half of those impacted earn up to €2,500.
“We definitely do not have the luxury of time as we’ve said repeatedly. I want to believe and I do believe that we will manage to implement this plan by February 1,” said CY chairman Stavros Stavrou.
Stavrou said he was hopeful all unions – including the pilots’ – could reach a compromise.
He said CY was still discussing outsourcing the catering, cargo handling, and some other departments, but made it clear the airline would maintain control of engineering and maintenance for safety and security reasons.
The unions have said that 272 people would be sacked at a first stage, but Stavrou would not confirm this.
The pilots’ union PASYPI – which has so far dismissed all restructuring proposals – blamed the management for CY’s troubles, but did not make any counterproposals. PASYPI said it was willing to contribute but could not in all conscience agree to an “ineffective” plan.
“(The pilots) don’t understand that CY is in danger,” the head of the state carrier’s biggest union SYNIKA Andreas Pierides told CyBC yesterday.
Pierides asked the pilots “to take a look at all those people queuing up at unemployment offices and relying on charity”.
Cyprus Airways employs about 1,000 people and the restructuring plan, based on proposals by Air France-KLM, has called for the sacking of 407 staff members.
CY must also propose a compensation figure for those laid off.
The airline has also asked for €73 million to implement the restructuring plan.
The House Finance committee begrudgingly made €16.3 million available to CY last month as part of a share capital increase. The state has a stake of almost 70 per cent in the airline.
CY has not been able to keep up with competition from cheaper carriers, and with rising fuel costs and has been kept afloat with cash injections in the form of assistance for losses incurred due to a Turkish airspace ban.
