THE HOUSE Finance Committee yesterday called for a radical overhaul of charter firm Eurocypria, which has been experiencing a bumpy ride since it was bought by the state from Cyprus Airways.
The committee wants to know what the government’s future plans are for Eurocypria, which also recently came under scrutiny by the Civil Aviation Department.
The airline has been accused of bad management, squandering hundreds of thousands of euros on unnecessary leasing because it failed to get its act together in time to plan last year’s summer programmes.
AKEL deputy Yiannos Lamaris said yesterday there was a “real problem” with the airline and said it needed a radical overhaul that would incorporate strategic planning aimed at making the airline more profitable and securing the future of its workforce.
“Otherwise the airline will be at a disadvantage,” he said.
Opposition DISY deputy Lefteris Christoforou said his party expected the government fully to inform Parliament of their plans for Eurocypria.
“We consider that it is a vital part of the Cypriot economy,” he said.
Committee chairwoman Antigone Papadopoulou said it was the duty of the government, if it has any plans for the future of Eurocypria, to give a complete briefing to the House.
EDEK’s Marinos Sizopoulos said it was a series of mistakes that had led both Eurocypria and Cyprus Airways (CY) to the state they were in today. He said the way out was only through painful choices.
“Cyprus is a tourist destination and in no event can it remain without a national carrier,” he said, referring to CY.
As far as Eurocypria was concerned, he said any decisions that might be taken should not affect the rights of workers. Both airlines needed to become viable, Sizopoulos said.
Eurocypria has been experiencing a number of difficulties since the government purchased the airline from national carrier Cyprus Airways in 2006. The airline was forced last June to lease planes from outside after being grounded by Civil Aviation for not having enough staff to operate under international regulations.
A leasing deal with a Canadian company to solve the problem later led to strike action by pilots due to the earlier lack of foresight in securing enough staff at Eurocypria. The blunder cost the airline hundreds of thousands in leasing costs.
An internal memo in October last year told staff the company’s financial situation was “not good”, and stressed the importance of the Canadian deal to the point where it hinted the agreement might be the last chance for the airline to survive.
