GERMANY: Lufthansa Strike, Hundreds Of Flights Were Cancelled

Lufthansa has cancelled 1,300 flights after it lost a last-minute legal bid to halt a strike by cabin crew.

The two-day action by members of the UFO union centres on disagreements over pay and conditions.

About 180,000 passengers are set to face travel disruption.

The UFO union said it would hit all Lufthansa flights from German airports.

Other airlines in the group – including Eurowings, Swiss, Austrian Airlines, and Brussels Airlines - are not affected.

Lufthansa cancelled 700 flights on Thursday and 600 on Friday, amounting to about one-fifth of its planned flights over the 48-hour period.

A Frankfurt labour court rejected an application from the airline to prevent the strike on Wednesday, which is part of a long-running dispute.

The carrier achieved an Adjusted EBIT of €1.3 billion for the third quarter of 2019, only slightly below the €1.4 billion of the prior-year period.

Against the backdrop of higher fuel costs, which were €171 million above their 2018 level in the third quarter, the group delivered a sound business performance for the period.

Our airlines were able to translate their premium quality and market strength into solid third-quarter earnings, confirms Carsten Spohr, Lufthansa chief executive.

At Eurowings the turnaround measures are showing first results; and at Austrian Airlines, Brussels Airlines and Lufthansa Cargo we will be taking tangible corrective action to improve earnings.

Lufthansa passengers can breathe a sigh of relief after the airline and cabin crew trade union UFO announced there are no new strikes on the horizon.

The two sides agreed to enter arbitration to resolve wage disputes.

German airline Lufthansa agreed to enter arbitration with cabin crew labor union UFO to resolve ongoing wage disputes, the two sides announced on Tuesday.

In a joint statement, the UFO union and Lufthansa said that talks over the past few days had been constructive and showed that we can come to a solution together.

The two sides have been locked into a dispute over pay for some 21,000 staff members as well as the union's legal status.

According to UFO, Lufthansa agreed to withdraw several lawsuits against the union and to make improvements for entry-level workers.

In exchange, the union agreed to refrain from further strikes while negotiations are ongoing.

The move comes as a potential new wave of strikes threatened to impact hundreds of Lufthansa flights as well as its four German subsidiaries — Germanwings, Eurowings Germany, Lufthansa City Line and SunExpress Germany.

A two-day strike by Lufthansa cabin crew led to 1,500 flights being canceled last week, bringing the airline's operations to a standstill.

Lufthansa and UFO said they hope a neutral arbitrator will help find a solution that is acceptable to both sides.

IRAN: Air France and British Airways Stop Flights To Tehran

Air France made it’s last flight to Tehran on September 18th. Air France cut the number of frequencies to Tehran on August 1, announcing that it would fly only once in a week instead of 3.

British Airways will close route 4 days after Air France on September 22nd with a return trip on the 23rd.

British Airways and Air France are following suit of KLM, which announced last month that it would suspend flights from Amsterdam to Iran in September.

Both airlines are issuing statements that the routes are no longer commercially viable.

As the number of business customers flying to Iran has fallen, the connection is not profitable anymore, said a spokesperson for Air France.

However, speculation that the airlines are simply giving in to political pressure after the United States pulled out of the nuclear agreement with Iran and reimposed sanctions on Iran.

After the sanctions were originally reimposed in early August, Airbus and ATR stopped their deliveries to Iran Air, Iran’s national carrier.

Air France, KLM, and British Airways originally restarted their routes to Tehran in 2015 after the nuclear deal was originally struck.

British Airways is offering refunds to passengers affected or offering to rebook passengers with other carriers.

Air France has, in recent times, transferred their Theran route to their subsidiary, JOON.

Lufthansa, Austrian Airlines, Germania, Alitalia, and Turkish Airlines are some of the European airlines still operating their routes to Tehran. None of them have provided any indication that they plan to cut their flights as well.


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Best, Worst Airlines And Airports In The World

Qatar Airways has been ranked the best airline in the world, according to a new study.

The research, carried out by consumer group AirHelp, has put the Middle Eastern airline on top with Hamad International airport, also based in Doha, the capital of Qatar.

The group ranked 72 airlines and 141 airports analysing a series of key performance indicators (KPI) including on-time performance and service quality. Twitter sentiment was also used to measure the KPI of the airports.

Closely followed by Qatar Airways is Lufthansa in second and Etihad Airways in third and Singapore Airlines and South African Airways in fourth and fifth respectively.

Among the worst airlines were Air Mauritius, EasyJet, Pakistan International Airlines, Royal Jordanian Airlines and Wow Air.

In terms of airports, Greece's Athens International came in second place, followed by Tokyo Haneda, Germany's Cologne Bonn and Changi, Singapore.

The worst were Stockholm Bromma, Sweden; Paris Orly; Lyon; London Stansted and Kuwait International.

London Heathrow did not make it into the top 10, coming in at number 81 out of the 141-strong list.

The report found that Stansted's poor standing was due to a large volume of negative tweets. Gatwick was the worst airport when considering this metric alone, it said.

AirHelp CEO and co-founder Henrik Zillmer said: For some time now UK airports have seemingly been in the news for all the wrong reasons and that has been realised in this data.

The UK is enviably positioned when it comes to physical movement of people globally, but this report needs to serve as a wake-up call when it comes to actual performance.

Passengers are clearly not happy and while it will be a challenge to address the issues highlighted in this report, it is also an opportunity to halt the decline in performance and provide consumers with a better experience.

Best And Worst Airlines

Best And Worst Airports

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AUSTRIA: 100 Future Pilots To Benefit From New Cockpit Jobs By Austrian Airlines

On May 9, 2018, 20 pilot trainees started their training to become pilots for Austrian Airlines.

The airline still has room for 34 people for the courses in August and November, and room for 96 future pilots for the training beginning in 2019.

The call for applications targets women and men without any previous experience as pilots.

The training of a pilot lasts for two years and costs about EUR 100,000. The entry into this attractive profession should be facilitated from now on thanks to a new financing model.

The underlying reason is that Austrian Airlines now offers a lower repayment amount for the pilot training.

Instead of the customary repayment totalling about EUR 60,000 up until now, pilots will only have to assume costs of EUR 40,000 over a period of ten years.

The company itself will now bear the majority of the costs.

The training course which began this week is the sixth one within the context of Austrian Airlines’ own training program and commenced right away with theoretical instruction held in Bremen, Germany.

Subsequently the first training flight will take place in Goodyear, Arizona (USA).

Upon successful completion of the 22-month training period, the trainees will be given the Airline Transport Pilot License (ATPL).



Tourism Observer

HONG KONG: Fuel Surcharges Cause Increase In Flight Tickets Out Of Hong Kong

Travellers on long-haul flights out of Hong Kong will have to pay up to HK$600 (US$76) more if oil prices keep rising and the government allows airlines to recoup fuel costs.

At least four industry sources said they were confident the Civil Aviation Department would deregulate the setting of fuel surcharges in the next few months, giving airlines some wiggle room when oil prices rise.

The department launched a year-long review of its policy on fuel surcharges last March but when approached last week, would only say its new policy was being finalised.

Long-haul flights out of Hong Kong will be the most affected if regulation on fuel surcharges is lifted.

Upon completion of the study, the Civil Aviation Department will consult stakeholders on the proposed way forward with a view to formulating the relevant policy.

Airlines could previously charge fuel fees on passenger and cargo flights from Hong Kong but in January 2016, the aviation regulator scrapped this as oil prices fell to US$35 a barrel from a peak of US$110.

The price of oil as of last week was US$74 a barrel and the last time oil prices were at that level in November 2014.

Airlines with flights originating from Hong Kong were allowed to charge an extra HK$623 for a long-haul flight and HK$143 for regional ones.

All four airlines based in Hong Kong, including Cathay Pacific Airways, had been lobbying over the past year for the surcharge to be reinstated.

A spokeswoman for Cathay Pacific and subsidiary Cathay Dragon would not comment other than stating the airline was keenly awaiting the outcome of the review.

Budget carrier Hong Kong Express only said it advocates pricing transparency.

Competition would influence airlines, particularly Cathay Pacific, to pass on half of the fuel price increase to passengers flying out of Hong Kong.

We expect all the carriers to successfully implement the fuel surcharges, Png said, adding that airlines might grant more discounts on underlying airfares to retain their market share.

About 87 airlines fly in and out of Hong Kong.

Cathay currently adds a fuel surcharge for flights arriving in the city as this is not regulated.

Passengers pay HK$116 for regional flights and HK$516 for long-haul flights.

The reintroduction of a fuel surcharge for outbound flights would harm the city’s competitiveness as a travel hub.

The fuel surcharge mechanism just has to be more transparent so passengers know exactly what they’re paying for.

It is important for airlines to have the power to make their own decisions.

However the fuel surcharge mechanism has to be more transparent so passengers won’t be out of pocket.

Surcharge should be directly linked to the cost of oil rather than the current formula used by authorities.

The department had on multiple occasions refused to disclose its calculations on price regulations.

In launching its review last March, the department had signalled that deregulation would occur, citing the example of other countries.

It said it was searching for the best way to follow similar trends.

Cathay Pacific was caught off guard more than two years ago when the fuel surcharge was suspended.

At the time, the airline’s chief financial officer Martin Murray said the company would be lobbying hard for the reinstatement of the surcharge.

The city’s biggest airline pays for its jet fuel up to four years in advance to secure a significant portion at a slightly discounted rate from the market price of oil.

However, the dramatic collapse in oil prices saw rivals who did not hedge as much profit from lower fuel costs and pass on savings to consumers through cheaper airfares.

Four years straight of fuel hedging losses totalled a cost of HK$24.2 billion (US$3.08 billion) for Cathay Pacific, which led to the struggles of the airline in recent years.

Fuel Surcharge Policies Worldwide

Hong Kong, Japan and Brazil are among the very few jurisdictions in the world that regulate fuel surcharges.

Hong Kong

When oil prices reach a certain level, typically around US$50 a barrel, the city’s civil aviation regulator authorises a surcharge to be added by airlines to a price of a ticket.

Airlines submit a figure they think reflects the oil price and the authorities set the final price based on all airline applications. The method of calculation has never been disclosed.

Japan

A transparent system informs airlines and travellers how much extra they would pay for international flights.

The fuel surcharge cost for passengers is based on the destination and a fixed price band for oil.

Brazil

Fuel surcharges are prohibited in one of Latin America’s largest countries and economies.

This is based on the belief that fuel costs and other carrier-imposed surcharges should be covered in the final airfare price.

Fuel surcharges originating from Brazil do not exist.

Regulators maintain that the stance is fair and gives more transparency to consumers.

European Union

Any airline operating from inside the European Union is free to add surcharges but should indicate the final ticket price at the start of the booking process, including taxes, airport charges and fees.

Lufthansa and British Airways are testing a new class of airfare in Hong Kong, which may cut prices of regular economy-class tickets for flights from the city by nearly 50 per cent.

Passengers will get no allowance for check-in luggage, board last, and forfeit selection of their seats, flight times or even carriers.

We are asking the traveller to give us this flexibility and in return we give them a very attractive price.

That’s how the deal works, said Malte Haut, general manager for the Lufthansa Group’s three airline brands in Hong Kong, southern China and Macau, which include Swiss International Air Lines and Austrian Airlines.

Lufthansa is using Hong Kong as the first international market to test its concept.

Lufthansa, Europe’s largest airline in terms of passengers and British Airways are among the first traditional carriers to alter their offerings with special discounts as passengers increasingly opt for low-cost fares and no-frills service.

Working alongside its Swiss and Austrian partners, Lufthansa wants its passengers to sacrifice flexibility, such as not knowing the exact airline or flight times until a few days before departure, to enjoy cheaper fares.

The German airline giant is using Hong Kong as the first international market to test its concept.

We are asking the traveller to give us this flexibility and in return we give them a very attractive price
Malte Haut, Lufthansa

In its trial programme, Lufthansa is offering a discounted one-way flat fare of HK$2,488 (US$317) to 13 destinations, including Barcelona, Milan and Venice.

Flights from Hong Kong to Lisbon under the scheme cost HK$4,976, but using the regular Lufthansa search function, the lowest price on the same selected date was HK$9,441.

British Airways is exploring additional enticements: lower fares for no checked-in luggage, boarding last, and seating choices left to the airline.

We know that when our customers travel with us their needs vary from trip to trip, the carrier’s chief commercial officer Adam Daniels said.

We need to ensure that the fares we provide reflect those differing needs so customers can select the best option for them on that occasion.

Low-cost Norwegian Air Shuttle has emerged as one of the main challengers to traditional airlines, initially on transatlantic routes and now in Asia.

Yet despite its popularity, Norwegian is under significant financial pressure amid heavy losses from its low fares and expansion.

US carriers have rolled out similar basic-economy fares, with a focus first on domestic flights while rolling out deals for flights to Europe.

Why cheap long-haul flights could be the best deal for savvy travellers

Keen Hong Kong travellers stand to benefit from the higher number of cheaper long-distance flights.

Cathay Pacific Airways last month ruled out any immediate plans to introduce similar basic- economy fare deals that restrict typical booking options.

But CEO Rupert Hogg noted customer behaviour had been changing a lot and forcing full-service airlines to reconsider conventional pricing models.

Cathay Pacific Airways has for now ruled out introducing similar deals.

People are travelling much more frequently and for lots of different reasons, he said.

As people’s needs change and get more varied, clearly we will start looking at how best we can meet those needs.

Airlines need to be very open-minded in the current market.

With budget airlines flying long-distance routes more frequently and reaping greater success, traditional carriers were starting to follow competitors’ offerings and travel conditions with reactive pricing.


Tourism Observer

AUSTRIA: Austrian Airlines Flying Vienna-Shiraz Route

Austrian Airlines is in talks with Shiraz International Airport’s officials to start operating a direct flight to Shiraz in the near future, AviationIran website reported.

According to this report, the negotiations with Austrian Airlines regarding a new Vienna – Shiraz route has recently been started.

Austrian Airlines had earlier expressed its interest in Shiraz when the airline announced the new Isfahan service .

Shiraz becomes Austrian Airlines’ third destination in Iran, joining Tehran and Isfahan.

Austrian Airlines launched a three times weekly service from Vienna to the Iranian commercial centre of Isfahan.

Austrian Airlines will fly to Isfahan the entire year.

The duration of the journey from Vienna to Isfahan is about 4 hours 40 minutes.

Earlier, Air France and British Airways resumed flying to Iran after a several years’ break.

KLM Royal Dutch Airlines will also resumeD services to Tehran.


Tourism Observer

AUSTRIA: Austrian Airlines Launches New Branding And Livery

Austrian Airlines is further developing its branding ahead of a relaunch of its website and app at the turn of the year 2018/19 and a stronger Internet presence currently being planned.

Digitalization is changing our lives. Our products, our brand and our company are also making themselves fit for the digital future, said Andreas Otto, member of the management board and CCO of Austrian Airlines.

The focus is on a slight adaptation of the logo.

Both core elements of the brand image, namely the chevron and the wordmark Austrian are being modernized to enhance their effect.

This will particularly increase the long-distance effect on aircraft and billboards.

In the meantime, 80 percent of Internet use takes place on a mobile basis.

For this reason, particular attention is being attached to ensure that the logo is more easily and clearly recognizable on mobile devices and smart watches.

Also, the typical Austrian Airlines red will be used in a more targeted manner as a distinguishing feature to set it apart from other airlines.

Accordingly, all customer touch points and the entire signage on the airports will be adapted.

The livery of the fleet will also be gradually adjusted.

The empennage will be optically enlarged by expanding the red area from the empennage downwards across the fuselage.

The wordmark Austrian in the front area of the fuselage will also be displayed over a larger surface area and thus be clearly readable from far away.

The typical Austrian salutation - Servus - will remain on the aircraft belly.

The first aircraft to feature the new livery will be the new Boeing 777 OE-LPF, which can initially be viewed in Vienna in May.

Eighteen out of a total of 82 aircraft in the airline’s fleet should feature the new livery when the summer flight schedule for 2019 takes effect.

Overall, it will take about seven years until all Austrian Airlines aircraft will have the new livery.


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AUSTRIA: Adria Airways And Austrian Airlines Sign Wet Lease Agreement

Austrian Airlines will start a wet lease agreement with its Star Alliance partner Adria Airways. The aim of the agreement is to have reserve aircraft available to enable greater flexibility in flight planning.

Austria’s flag carrier will lease the aircraft along with cockpit and cabin crew – one as of September 16, 2017, and the other as of October 1, 2017.

The Canadair CRJ 900 jets offer room for 86 passengers and thus have a larger seating capacity than the Bombardier Q400.

According to an announcement, the aircraft will be operated in the Austrian Airlines route network.

Planned destinations amongst others include Warsaw, Venice and Bucharest. Passengers on board will enjoy the customer service provided by DO&CO.

The hub of Adria Airways is at Ljubljana Airport, near the capital of Slovenia.

The Slovenian home carrier is a member of Star Alliance, and has thus been a reliable partner of Austrian Airlines for many years, Austrian Airlines said.

Adria Airways links Slovenia with numerous European cities, and offers flight connections to South East Europe.

The airline’s headquarters are located at Joze Pucnik Ljubljana Airport.

Adria Airways has sales offices in almost all European countries.



Tourism Observer

GERMANY: Lufthansa Issues 20,000 Flight Attendants With iPad Minis

Now with the “Lufthansa crewFlight” apps, the seating plan is quickly opened, providing the cabin crew with a plenty of information on the guests of their next flight.

Lufthansa has started providing its 20,000 flight attendants with iPad Minis.

The so-called cabin mobile device (CMD) will be successively issued to the entire cabin crew over the next few weeks.

This is a major and visible step in the year of digitization at Lufthansa. The so-called Electronic Flight Bag has already been in operation in the cockpit since the beginning of 2015 and is used by 4,300 pilots for flight planning and operations.

At the same time, cabin crew managers also received a tablet, and this is now to be extended to include all cabin crew as a result of the positive experience.

The CMD will allow cabin crew members to access all the data they need to work on board, to access important service manuals and service schedules, and easily view any changes in plans.

The CMD heralds a new way of working and simplifies existing processes so that staff have more time for customers.

Moreover, it significantly improves communication with the personnel on board.

The Cabin Mobile Device project is part of a major current program of transformation called ‘OPSession’, which aims to further digitize the operational areas of Lufthansa, Swiss and Austrian Airlines.

Employees with no fixed workplace are to be equipped with mobile devices so that they may meet the needs of the customer in an even better and more personalized way.

Besides, the logo, corporate style and livery of BUTA AIRWAYS, the first low-cost airline of Azerbaijan, were created by preserving national coloring.

The logo of Buta Airways reflects the symbolism of the mythological sacred bird Simurg, represented in the form of the Azerbaijani ornament buta.

On the airline’s bright livery, buta patterns are drawn in the corporate blue color of the CJSC Azerbaijan Airlines (BUTA AIRWAYS is a structural unit of CJSC AZAL) and also in a bright red color that refers to Azerbaijan’s flag.

The fleet of BUTA AIRWAYS will consist of modern Embraer aircrafts.

Currently, the development of the airline’s pricing policy, transportation rules, as well as the route network is at the final stage. In the near future, the public will be provided with detailed information about it.

The launch of the airline’s website, through which it will be possible to purchase flight tickets, expected soon. Flight tickets can also be purchased at the sales offices and in official agencies.

Lufthansa Positive Despite Loss, Says Not Interested In Alitalia

German airline group Lufthansa Thursday reported a much larger net loss in the first three months of the year, but sought to play up a return to positive operating results.

The group reported a net loss of 68 million euros ($74 million) between January and March, compared with an 8-million-euro loss in the same period last year.

Adjusted operating, or underlying profit stood at 25 million euros, a marked improvement on a 53-million-euro loss in the first quarter of 2016, on the back of revenues up 11.2 percent at 7.7 billion euros.

"For a period that is traditionally difficult for the airline industry, we have posted our first positive earnings result since 2008," chief financial officer Ulrik Svensson said in a statement.

Svensson pointed to increased demand at the Lufthansa Cargo division and maintenance unit Lufthansa Technik as the biggest contributors to the improvement.

It was also the first time the group's financial reporting included Brussels Airlines, which it bought at the end of 2016.

Looking ahead, the group left untouched its forecast for the full year of "substantially higher revenues" than 2016's 31.7 billion euros and "slightly lower" adjusted operating profit than the 1.75 billion euros brought in last year.

German airline group Lufthansa said on day it is not interested in snapping up troubled Italian carrier Alitalia, as Rome hunts for a buyer after workers rejected a bailout plan. “We are clearly not there to buy Alitalia,” finance chief Ulrik Svensson said during a teleconference with analysts on Lufthansa’s first-quarter financial results.

Italian government ministers said Wednesday they would not oppose a takeover bid by the German behemoth, as they announced that Alitalia would be sold “to the highest bidder”.

Lufthansa, which already owns a stable of carriers including Austrian Airlines, Swiss, Brussels Airlines, and Eurowings, on Thursday reported a net loss of 68 million euros between January and March — a worse performance than the same period last year.

The result comes after a record year for Frankfurt-based Lufthansa, in which it booked profits of 1.75 billion euros (USD 1.90 billion) despite fierce competition from low-cost competitors and Gulf airlines such as Etihad.

Loss-making Alitalia’s future is up in the air after its workforce rejected a restructuring plan which management had presented as the only alternative to bankruptcy.

Etihad, which owns a 49 percent stake in Alitalia, and other shareholders had made staff acceptance of the plan a precondition for their participation in a two-billion-euro recapitalisation plan involving a combination of loans and new shareholder financing.

But despite earlier proposals being watered down in negotiations with unions, over two thirds of staff voted to reject them in a ballot on Monday, in which more than 90 percent of employees took part.

The company’s board on Tuesday asked the government to appoint administrators to find a purchaser or organise the winding up of the company.

Etihad also holds a stake in struggling German airline Air Berlin, which has delayed the release of its 2016 annual results — widely expected to show the firm in a poor light –until Friday.

Lufthansa has been mooted as a potential buyer for Air Berlin in the German press if the Gulf carrier decides to review its strategy in Europe.

IRAN: Austrian Airlines To Fly To Tehran, Isfahan, Shiraz By July

Austrian Airlines is expanding beyond Tehran.

Unlike Europe’s other major airlines who fly solely to the Iranian capital, Austrian has been serving Isfahan since last year. And from July 2 next Austrian will be adding Shiraz.

It means that travellers bound for either regional city can avoid the time and expense of changing planes in Tehran as our features editor Jenny Southan encountered when visiting Isfahan.

In total, including its Tehran services, Austrian operates more flights to Iran than any other European airline.

“No other airline in Western Europe offers 18 weekly flights to Iran. Here we are number one,” claims Austrian’s CCO Andreas Otto.

In reality the Shiraz service is a continuation of Austrian’s existing Vienna-Isfahan link. Flights are operated by a narrow-body A320s.

Services will depart Vienna every Monday, Wednesday, Friday and Sunday at 2200 arriving into Shiraz (after a short stop in Isfahan) at 0310 the following morning.

Return services depart Shiraz every Monday, Tuesday, Thursday and Saturday at 0520 and (after that short stop in Isfahan) reach Vienna the same morning at 0920.

Austrian is very much a transfer airline. Therefore flights are timed for connectivity at its Vienna hub.

AUSTRIAN: Austrian Airlines To Make More Flights To Odesa and Lviv

Austrian Airlines will launch tree new night flights from Vienna to Lviv and Odesa in April 2017. The airline will offer more flights from Odesa and Lviv to Vienna starting on April 3, 2017. As a result, it will operate up to seven weekly flights to Vienna in the future instead of four.

The key to the new timetable success will be Austrian Airlines’ ability to attract enough transfer passengers travelling to the US. Within the context of these changes, transfer time in Vienna airport will be reduced from 18 hours to 4. In addition, night flights will allow to reach many cities in Europe by afternoon, while the daily flights allowed to do so by the end of the day.

New night OS383 flights Vienna-Lviv will be operated on Mondays, Wednesdays and Thursdays at 23:15 from Vienna with the arrival in Lviv at 01:30 the next day. OS384 flight departures from Lviv to Vienna on Tuesdays, Thursdays and Fridays at 05:10 with the arrival in Austria at 05:50.

New night OS621 Vienna-Odessa flights will be operated on Tuesdays, Thursdays and Sundays at 23:10 with the arrival in Odessa at 02:05 the next day. OS622 return flight departures from Odesa to Vienna on Mondays, Wednesdays and Thursdays at 04:35 with the arrival in Austria at 05:50.

Etihad Signs Code-share Agreement With Lufthansa

Etihad Airways and Lufthansa German Airlines have signed a long-awaited codeshare agreement on flights, set to start in January 2017.

The German carrier twice reneged on an agreement in 2011, according to comments made by Etihad CEO and President James Hogan in 2014.

The deal is subject to government approval.

Etihad is set to codeshare with Lufthansa on twice daily non-stop flights between its home base of Abu Dhabi and Frankfurt, and its twice daily services between Abu Dhabi and Munich.

The Abu Dhabi carrier will, in turn, put its “EY” code on Lufthansa’s long-haul services between its home base of Frankfurt, and Rio de Janeiro, Brazil as well as Bogota, Colombia.

Both companies also agreed to a wet-lease, in other words, a full lease of aircraft, crew, and maintenance, whereby Lufthansa will rent out 38 aircraft from airberlin, a company Etihad Aviation Group indirectly holds a 29 per cent stake in.

Of the aircraft being leased, 33 will go to the Eurowings Group, Lufthansa’s point-to-point carrier, whilst an additional five aircraft are to be flown for Austrian Airlines, its network carrier.

Despite hostilities in the past, the statements from both companies suggest the start of a broader partnership, with Carsten Spohr, CEO of Lufthansa Group, saying, “we will consider extending our cooperation in other areas”.

Pilot Shortage In Airlines, What Will They Do?

After coping with terrorism, bankruptcies and consolidation, the largest airlines of the world are facing a new problem: a looming worldwide pilot shortage.

The recent boom in air travel has created an urgent demand for new aircraft and additional flights as well as new routes all over the world which, in turn, have served the reason for a massive expansion of low-cost airlines. However, such a dramatic growth seems to seriously challenge its key players because currently more and more unfilled vacancies within the aviation sector are springing up.

Era of the Major Recruitment Drive in Aviation

Together with growing economies, airlines’ fleet numbers are expanding as never before. This consequently leads to the lack of people able to operate these aeroplanes. Nevertheless, the huge numbers predicted by the most influential manufacturing giants, Boeing and Airbus, have come as a true revelation. The companies have forecast the demand for as many as 617 000 new pilots by 2035.

Qualified Pilots Lacking Competence to Fly

Unfortunately, the need to supplement airlines with pilots as quickly as possible has led to some concerns related to the pilots’ training process.

As a measure against an increasing shortage, some flight schools have decided to take shortcuts or issue licences to pilots who have not flown the required number of hours. Therefore, Canada is already on its path to educate pilots much faster as Canadian pilots are no longer obligated to fly an aircraft or helicopter in order to maintain a valid licence. It is enough to undergo flight simulator testing only. However, a high number of aviation inspectors consider the rules changed by Ottawa to be “reckless” as it might dilute pilot-training and put the flying public at risk.

Correspondingly, while some American flight schools move towards loosening the rules, the European Aviation Safety Agency is working with airlines on a pilot training course in order to enhance pilots’ qualification. According to airlines, the present system produces pilots with licences that make them legally qualified to fly, but half of them are not good enough to carry out their duties.

Consequently, making flight schools requirements less tight seems to be not the only way to educate a huge number of pilots within the shortest period of time.

New Approach to Make an Aviation Career More Appealing

Another way to recruit more pilots is to get rid of the image of aviation as a “boys club”. Depending on the data provided by the International Society of Woman Airlines Pilots, around 97 percent of all commercial pilots are male.

Therefore, the situation itself suggests gender bias to be pushed aside. That is why recently more and more airlines are considering the idea of hiring more female pilots in order to meet the demand.

EasyJet’s head of crew training, Capt Eddie Sproul, holds the same opinion and says that the industry can ease the situation by improving pilot retention and appealing to a wider base of applicants. He believes that one of the most effective approaches is to make an aviation career more appealing to woman.

For instance, the UK’s third largest airline, Thomson Airways is actively calling on female applicants for pilot roles. Although currently the airline employs nearly 900 pilots and just 3% are woman, this is something the airline is keen to change with its latest pilot recruitment drive.

Due to the fact that the contemporary world has achieved total gender equality, this aspect should not act as a key feature determining whether a person can become a pilot or not. Depending on the general requirements, in order to qualify for a licence to operate an aeroplane a person should read, write and speak English fluently, have thousands of hours of flight time, have no criminal record or history of alcohol abuse and be free of a long list of medical conditions including colour blindness and diabetes that requires medication.

Airlines Search for Pilots

As a result, various airlines seem to be actively adopting new strategies to meet the phenomenal growth and are beginning major recruitment campaigns.

Australian airline Qantas, the third oldest airline in the world, has started its external pilot recruitment preparing for the arrival of the Boeing 787-9 in October 2017. Qantas said it has already received more than 500 applications. Although the applications are coming mainly from Australian people, some applicants from New Zealand and Europe have put their hat in the ring, too.

The airline said that the group of new hires will commence their career in Qantas as second officers on the Airbus A330 fleet which fly domestically and to Asia as well as Honolulu.

Therefore, the airline plans to hire 170 new pilots over the next three years to support growth on the back of a firm order of eight Dreamliners that was confirmed August 2015.

In order to support the carrier’s growth, the Latvian airline airBaltic plans to recruit approximately 1000 professionals over the next five years as well.

A Denver-headquartered airline Frontier plans to increase the number of operating airplanes from 63 to 72 and, hence plans to launch three partnerships with smaller regional airlines to help recruit and then hire their pilots once they reach a certain level of experience.

After those pilots advance to becoming captains, build at least 1000 hours of pilot-in-command time, meet dependability metrics and receive letters of recommendations, they are guaranteed to transition to Frontier as a first officer.

The Scandinavian low-cost airline Norwegian has stated that it is recruiting and hiring American pilots for its crew base at Fort Lauderdale-Hollywood International Airport. According to the airline’s spokesman, the carrier aims to hire a minimum of 24 crew members that will include one base captain, nine captains, five relief captains and nine first officers.

The carrier wants to ensure adequate staffing for the dozens of new Boeing Dreamliner aircraft expected to join its fleet over the next few years. Additionally, it will cover the cost of converting the US pilots’ certification from a FAA pilot certificate to a European pilot licence based on the EASA regulations.

The airline has already received about 100 applications for the pilot’s job, which will offer competitive salaries.

Due to the fact that Europe’s airline No. 1 Ryanair plans to take delivery of 50 new aircraft in the next 12 months, it has announced that it is to launch a major recruitment drive.

In Ryanair’s Chief People Officer opinion, 2017 is expected to be the busiest recruitment year to date. The airline is going to hire 1000 new pilots.

urrently Austrian Airlines is looking for 100 young male and female pilots who will be recruited in 2017. The demand for new pilots is caused by the expansion of the fleet by two Airbus A320 and a long-haul Boeing 777 jet and the retraining drive trigerred by the integration of 17 Embraer jets to replace the previous 21 Fokker planes.

The national airline of the UAE has announced it will shortly launch a pilot recruitment drive across Europe in order to join both its Airbus and Boeing fleets. This is considered to be the first major push for new pilots in two years time. Therefore, the search will be focused on posts for First Officers.

Accordingly, many regions are facing an increasing demand for pilots and other personnel to operate an aircraft. The situation seems to be considerably confusing an ordinary workflow. However, training centres together with airlines are making huge efforts in order to prevent the further pilot shortage expansion.

AUSTRIA: Aviation Taxes Cause Negative Impact On Tourism

Introduced in 2011, aviation taxes in Austria have become a burden for the Austrian aviation industry and are understood to have had a substantial negative impact on tourist numbers.

This situation will now be partially rectified through two 25% reductions in these taxes in 2017 and 2018 respectively.

Currently, passengers boarding a plane in Austria are being charged a fee of €7.00 for short-haul flights, €15.00 for medium-haul flights and €35.00 for long-haul flights.

In 2015, contributions of €107 million were collectively made to the Austrian government by airlines operating both incoming and outgoing flights based on figures obtained from the Austrian ministry of the treasury.

According to Peter Their, a spokesperson for Austrian Airlines, We would welcome such a move, which we see as a positive sign. Our competitive disadvantage will be then reduced,” adding that: “Austrian Airlines itself delivered €32.5 million, about 30% of this aviation tax.

The Lufthansa Group paid €50.7 million, 47% of the €107 million.

It is anticipated that this reduction in the local aviation tax will increase Austria’s competitiveness in Europe while improving tourism. It had been pointed out in an analysis by Vienna Airport that without this tax an additional 1 million passengers could be generated on an annual basis.

Pilots’ Union, Vereinigung Cockpit (VC) Called On Members To Strike Again

Pilots’ union Vereinigung Cockpit (VC) has called on its members to strike again. The next walkouts have been announced, this time with a duration of two days.

This Tuesday, on 29 November, there will be strikes affecting all short-haul flights from 00:01 to 23:59. And for the following day, Wednesday, 30 November, strikes affecting all Lufthansa flights departing Germany have been announced from 00:01 to 23:59.

Lufthansa’s representatives are very disappointed that VC does not want to continue talks, but is rather seeking another escalation and calling for additional strikes.

VC has continued to insist on demands that are far beyond what other professions have demanded, for instance. This is unacceptable.

Lufthansa will prepare a special flight schedule for Tuesday and Wednesday as quickly as possible. So far, over 345,000 passengers have been affected by 2,755 flight cancellations during the four days of strikes in the past week. The Group airlines Eurowings, Germanwings, SWISS, Austrian Airlines, Air Dolomiti and Brussels Airlines are not affected by the strike. The pilots of Lufthansa Cargo have also not been called on to strike. Flights to and from Germany that are operated by Group airlines are flying as scheduled.

Lufthansa asks all its customers to take the precaution of checking the status of their flight on LH.com before travelling to the airport.

GERMANY: Lufthansa Will Grow Eurowings,

For years, as low cost airlines have grown in Europe, the Lufthansa Group mostly has stuck to what it knows best — carrying business travelers and higher-end leisure customers from its four key hubs, Zurich, Vienna, Frankfurt, and Munich, to key world capitals in Europe and elsewhere.

But like every other legacy airline group in Europe, Lufthansa, which owns Lufthansa Airlines, Austrian Airlines and Swiss International Air Lines, is feeling more squeeze than ever before from discounters like Ryanair and EasyJet. So after making some half-hearted attempts in recent years to try to compete with lower cost airlines, Lufthansa Group is telling investors it finally has an aggressive plan to thwart the competition.

Lufthansa will grow its low cost subsidiary, Eurowings, in the coming years, hoping passengers will choose it over better-known competition. The airline is not new — it started flying in 1994, and Lufthansa Group assumed control about a decade ago — but until recently it has been a bit player, with a fleet and customer base far smaller than Ryanair’s or EasyJet’s.

Now, through proposed deals with Brussels Airlines and Air Berlin, Lufthansa Group is poised to turn Eurowings into the third-largest point-to-point airline in Europe by next summer, according to Group CEO Carsten Spohr. Eurowings, which historically has not flown traditional hubs, has a much different model than the hub-and-spoke full-service airlines of the Lufthansa Group.

Soon, Spohr said, Eurowings could have more than 160 aircraft, possibly giving it enough scale to compete with Ryanair, which is a little more than twice that size. That’s a major jump from the 30 or so aircraft Eurowings had a few years ago, before it merged operations with Germanwings, another Lufthansa-owned discounter. It’s also a big increase from the roughly 90 aircraft Eurowings operates today.

The decision to grow Eurowings comes as Ryanair, Europe’s most powerful discounter, expands into Frankfurt, Lufthansa’s top hub, for the first time. Ryanair made its announcement on Wednesday as Lufthansa Group reported its third quarter earnings and shared plans for Eurowings’ expansion. Lufthansa Group CEO Carsten Spohr told analysts he was watching the development “with great interest,” promising his company would “react as appropriate.”

Eurowings still does not operate from Frankfurt, though that could change at some point. Lufthansa Group has been increasingly willing to permit Eurowings to operate from its hubs, with the carrier expanding in Vienna this year and Munich next year. Eurowings is also beginning to expand its long-haul operation with widebody aircraft.

“Lufthansa has built an unrivaled operation here in Frankfurt that operates probably the strongest network of all European airlines in Europe,” Spohr said. “We are certainly not nervous to take on more competition. As a matter of fact we are competing already in many airports in Europe.”

Having expanded Eurowings by merging its brand with Germanwings, Spohr is now turning his attention to inorganic growth. New aircraft will help Germanwings add point-to-point routes outside of Germany.

“Eurowings is already the market leader in direct traffic in our home markets,” Spohr said. “But we also want to grow in other markets, and for that, we need partners.”

Perhaps most interesting is Lufthansa Group’s recent decision to wet-lease about 35 aircraft from Air Berlin for six years, beginning in March. Under the agreement, Air Berlin pilots and flight attendants will work the flights, but Eurowings will sell tickets and market the operation. It’s a relatively unusual arrangement, with wet-leases more commonly used by smaller airlines and charter carriers, but Spohr notes it’s cheaper than buying new planes.

“We plan to increase our presence in attractive European markets where we may already be active today,” Spohr said about plans for the Air Berlin fleet.

The cash will be vital for Air Berlin, which has been struggling to make money, disappointing Etihad Airways, one of its larger shareholders. And for Lufthansa Group, the deal helps sideline a competitor. That’s important, Spohr said Wednesday, because the European market has seen fewer airline mergers than its U.S. counterpart.

“Another reason why this step is so important is that it helps drive consolidation, and thereby the capacity discipline that’s so urgently needed in the European airline industry,” Spohr said.

Lufthansa Group also plans to transfer some Brussels Airlines aircraft to Eurowings, assuming the company is able to acquire the 55 percent of the Belgium-based carrier it does not already own. Lufthansa Group’s board approved the acquisition in September, and the transaction is supposed to close early next year.

But on Wednesday’s call, Spohr said it is too early to know how Eurowings would use the aircraft. He said the company will first focus on absorbing the Air Berlin aircraft.

“We’ll take the year of ‘17 to jointly analyze the integration to Eurowings when it comes to brand, when it comes to overhead, and which synergies will be realized,” Spohr said.

RUSSIA: Rossiya Airlines

Rossiya Airlines JSC , sometimes branded as Rossiya - Russian Airlines is a Russian airline headquartered in Saint Petersburg with its hub at Pulkovo Airport. It is predominantly owned by Aeroflot and serves domestic and some European destinations and additionally operates the aircraft fleet for the Government of Russia.

The airline was established in 1992 and is wholly owned by the Russian government. In 2006 the Russian government merged Rossiya Airlines with Pulkovo Aviation Enterprise and on October 29 the new airline started flying under the name Rossiya. The merger process began in December 2004. In November 2006 it was announced that the merger had been completed and Rossiya Airlines was registered in Saint Petersburg on 9 October 2006 and has a branch in Moscow and 54 offices in Russia and abroad.

In February 2010, the Russian government announced that all regional airlines owned by the state through the holding company 'Rostechnologii' would be consolidated with the national carrier Aeroflot in order to increase the airlines' financial viability.[6] The airline has operated flights under Aeroflot's "SU" since 30 March 2014.

Arising from the merger with Pulkovo Airlines, the bulk of the scheduled service operation is from Russia's second-largest city, St Petersburg, where Pulkovo was the dominant airline, and Rossiya continues to be. Operations based in Moscow are predominantly non-scheduled ones for state organisations, or flights operated on behalf of Aeroflot; Rossiya continues Pulkovo's lead role on the Moscow-St Petersburg route.

Rossiya has codeshare agreements with the following airlines:

- Aeroflot (SkyTeam)
- Air Astana
- Air France (SkyTeam)
- Air Moldova
- airBaltic
- Austrian Airlines (Star Alliance)
- Belavia
- Czech Airlines (SkyTeam)
- Finnair (Oneworld)
- Hainan Airlines
- Iberia (Oneworld)
- Icelandair
- KLM (SkyTeam)
- Korean Air (SkyTeam)
- LOT Polish Airlines (Star Alliance)
- Norwegian Air Shuttle
- Scandinavian Airlines (Star Alliance)
- Swiss International Air Lines (Star Alliance)

SRI LANKA: Austrian Airlines Inaugurate Flights To Sri Lanka Expected To Increase Flow Of European Travelers To Sri Lanka

SrI Lanka Tourism Promotions Bureau officials including Ms. Madubani Perera –Director Marketing and Mr. Jagath Perera –Market officer to Austria & Sweden welcomed the Austrian Airlines crew of the inaugural flight at the BIA.

The inaugural flight Boeing 767 of Austrian Airlines, the flagship carrier of Austria touched down at Bandaranayke International Airport on 28th October 2015. After a lapse of almost 8 years, the airline will now offer direct flights from Vienna to Colombo on weekly basis.

Austrian Airlines, a member of the Star Alliance is part of the Lufthansa group and operates a global route network of around 130 destinations. Austria is in the center of Europe, with Italy and Slovenia to its south and Germany and the Czech Republic to its north. Given the ideal geographical location in the heart of Europe, direct air connectivity from Vienna to Sri Lanka is expected have a positive impact on the tourism industry of Sri Lanka.

Sri Lanka Tourism Promotions Bureau officials including Ms. Madubani Perera –Director Marketing and Mr. Jagath Perera –Market officer to Austria & Sweden welcomed the Austrian Airlines crew of the inaugural flight at the BIA.

As per the exit survey conducted by Sri Lanka Tourism Development Authority in 2014, main activities undertaken by Austrian tourists to Sri Lanka are sea bathing, visit to historical sites and wildlife. Sri Lankan has seen year-on-year (YOY) improvement in tourist arrivals to the island. In the nine months to September 2015 tourist arrivals from Austria increased by 9% and arrivals from Western Europe to Sri Lanka increased by 16% over the same period last year.

Entry of new airlines to island highlights the confidence placed by the international community on Sri Lanka and weekly flights from Vienna to Colombo gives greater opportunity for the tourism industry of Sri Lanka to further grow the European market.

AUSTRIA: Austrian Airlines Inaugurate Flights To Sri Lanka

The inaugural flight Boeing 767 of Austrian Airlines, the flagship carrier of Austria touched down at Bandaranayke International Airport on 28th October 2015. After a lapse of almost 8 years, the airline will now offer direct flights from Vienna to Colombo on weekly basis.

Austrian Airlines, a member of the Star Alliance is part of the Lufthansa group and operates a global route network of around 130 destinations. Austria is in the center of Europe, with Italy and Slovenia to its south and Germany and the Czech Republic to its north. Given the ideal geographical location in the heart of Europe, direct air connectivity from Vienna to Sri Lanka is expected have a positive impact on the tourism industry of Sri Lanka.

Sir Lanka Tourism Promotions Bureau officials including Ms. Madubani Perera –Director Marketing and Mr. Jagath Perera –Market officer to Austria & Sweden welcomed the Austrian Airlines crew of the inaugural flight at the BIA.

As per the exit survey conducted by Sri Lanka Tourism Development Authority in 2014, main activities undertaken by Austrian tourists to Sri Lanka are sea bathing, visit to historical sites and wildlife. Sri Lankan has seen year-on-year (YOY) improvement in tourist arrivals to the island. In the nine months to September 2015 tourist arrivals from Austria increased by 9% and arrivals from Western Europe to Sri Lanka increased by 16% over the same period last year.

Entry of new airlines to island highlights the confidence placed by the international community on Sri Lanka and weekly flights from Vienna to Colombo gives greater opportunity for the tourism industry of Sri Lanka to further grow the European market.