The Crisis Plaguing Azores Airlines: A Closer Look
Airline Company in Azores Expresses Worry
Azores Airlines is in the midst of a rough patch, with ongoing operational issues causing several headaches since September 2024. Safety, public resources, and passenger confidence have taken a hit, overshadowing the otherwise promising privatization process.
The union, Sindicato dos Pilotos de Aviação Civil (SPAC), has been vocal about their concerns. They've accused the airline of calling for crew to work on rest days, unfair work distribution, a lack of transparency in career progressions, and favoritism in appointments to leadership and technical roles. These practices, according to SPAC, reflect outdated and inefficient management practices.
The implementation of frequent Aircraft with Crew (ACMI) leasing has also been criticized by SPAC, who argue it points to a flawed approach to airline operations. The union also raises concerns over the insistence on maintaining a central hub in Ponta Delgada, despite the lack of necessary technical and logistical infrastructure.
Mismanagement of airports and poor crew planning are other pressing issues raised by SPAC. These operational pitfalls, they claim, pose serious safety risks and waste valuable resources.
The union has additionally expressed concern over the airline's undisclosed 2024 financial results, raising questions about its financial health. This lack of financial transparency has further fueled uncertainty about the airline's prospects during the privatization process.
Negotiations for the privatization of Azores Airlines have been ongoing since the European Commission approved a €453.25 million Portuguese state aid package in 2022. This package includes the sale of a controlling 51% stake; however, the process has been marked by these operational and financial concerns raised by SPAC.
The Newtour/MS Aviation consortium is the sole bidder in the privatization process. But, before any deals are signed, the Azorean Government is urged to meticulously vet the consortium's technical, financial, and labor credentials. This vetting process is crucial in alleviating concerns about the airline's future under new ownership.
As negotiations continue, the success of the privatization hinges on addressing the operational and financial concerns raised by SPAC and ensuring a robust and sustainable future for Azores Airlines. The stakes are high, and it's clear that thorough reforms are needed to steer the airline on the path to success.
The union's concerns about Azores Airlines extend to the management of finances, as they question the airline's undisclosed 2024 financial results, implying a lack of transparency that could affect the airline's financial health. Moreover, the future business operations might be jeopardized if the airport management and crew planning continue to be mismanaged, wasting resources and posing safety risks.
