[ad_1]
The hold of SAS to reduce costs is expensive for the company. The number of cancellations due to lack of staff has increased by 280% since last year. Fly experts think they might be forced to lower prices.
SAS also receives huge amounts of compensation from passengers, as well as serious scratches from the brand.
An ABC News preview has access to the shows that SAS is in turmoil
- Comparing the figures of 2017 and 2018, the number of cancellations due to lack of crew has increased by 280% between June 1st and July 15th.
Concrete figures look like this:
- 1. June – July 15, 2017: Total cancellations 783 – 147 due to crew (19 percent)
- 1. June – July 15, 2018: Total 1043 cancellations – 411 due to crew (39.4 percent)
In the second quarter of this year, the company has established about 700 departures because of the lack of staff.
The information manager Knut Morten Johansen in the SAS listed can not comment on the numbers
– The parties involved constitute a small promille
– The company reports are included in the bulletins En Regarding quarterly results, he states, but states that they had 45,000 flights during the period from June 1 to July 15 this year.
– Acute cancellations directly affecting travelers at an airport constitute Johansen
See full commentary of Johansen at the bottom of the case
Wednesday after -Midi, CEO Rickard Gustafson has told SAS that the company must now pre-cancel a number of flights in the summer to avoid further delays in a letter to the 11,200 employees of the company. business.
The boss of SAS confirmed in the letter that the crisis The company is due to the failure of subcontractors, as ABC News revealed this weekend.
Lack of Pilots
Lars Sandahl is Executive Vice President of SAS. Photo: SAS
– We are facing a very difficult traffic situation based on specific challenges in City Jet and SAS Ireland. For SAS Ireland, the immediate situation is mainly due to the lack of pilots and the late delivery of Airbus flights. This creates significant pressure, Gustafson wrote.
On Thursday, SAS Norwegian Executive Vice President, Lars Sandahl, had a "dialogue meeting" with employees in a hurry at the Oslo Airport. He does not want to interview ABC News
On Saturday, ABC wrote News about the SAS Ireland crew crisis (SAIL) and the second "grandson" of SAS – City Jet, which concluded a deal six years with SAS.
- The current situation: SAS Crisis: – Emergency bags in case of emergency not to faint at work
Mark employment at "l & # 39, Irish "
SAS The SAS Ireland subsidiary, created in 2017 to save money, has set up a Dublin-based company, CAE Park, for hiring crews under contract. But poor working conditions and wages well below market prices led pilots to escape from SAIL.
Theft analyst Jacob Pedersen of the South Danish bank knows that regular flights are due to savings and low wages
– Thanks to good conditions, SAS does not have to pay for it. Never had any problems with the staff. . According to Jacob Pedersen in Dansk Sydbank at Dagens Industri, the company notices the consequences of using subcontractors and the employment of Irish staff.
– SAS must offer a better product than until here. If the parameters continue to rise, they do not have so many alternatives as to lower the price, says Dansk Sydbank analyst, according to Expressen, quoting DI [19659010] – Must deliver what customers want
Jørgen Elnæs says that SAS today offers a very good total product and occupies a unique position in the business market and among those who travel frequently.
– These segments are willing to pay a premium in the form of a higher fare for flying with SAS. says Elnæs to ABC Nyheter, but points out:
– This means that SAS must deliver what customers want, and willingly, to maintain their strong position in Scandinavia. If SAS does, customers will always be willing to pay a premium for traveling in the form of a higher fare.
SAS shows that the prices are "dynamic and reflect the supply and demand" and that we get
– It is fascinating to observe that the tickets of 39, plane should not be expensive at the same time that SAS offensive offensive to reduce costs is criticized. If society is a relevant choice for travelers at work as for leisure, the ongoing restructuring of the business is essential, says information officer Johansen, who calls it "painful transformation".
Need for 790,000 new pilots
] SAS Irish signals were a response to low-cost airline tickets. But while a Ryanair captain earns about 1.5 million a year, SAIL offers an average annual salary of about $ 800,000 to a captain.
Since then, a scheme of nine nights a month has been included in employment contracts. ABC News has seen. The pilots came mainly from the British Monarch, which went bankrupt in October 2017.
The salary of the pilot is much lower than what the SAS boss himself has. According to the October 2017 annual report, Rickard Gustafson had an annual salary of just over 10 million NOK, a retirement agreement with a gold, a number of benefits and an equivalent parachute. to the annual salary. The demand for pilots enormously.
New estimates from the Boeing manufacturer show that it takes 790,000 new pilots in civil aviation for the next 20 years. The need for aircraft technicians is estimated at 754 000 while cabin crew is estimated at 890 000.
Ryanair increases his salary by 20%
Flight Analyst Hans Jørgen Elnæs was Director of Sales and Marketing for Ryanair in Scandinavia and the Baltic States. Here at a press conference with Ryanair boss David O. Brien (t.h.) in the background. Photo: Vegard Wivestad Grøtt / NTB scanpix
The flight analyst Hans Jørgen Elnæs says that the upcoming challenges will be mostly in the cockpit – that is to say get competent pilots and other pilots.
– What is important is that it is mostly experienced pilots who have the biggest deficit. It partially compensated the airlines. Among other things, Ryanair, where they increased the pilot's salary by 20 percent and a registration fee of 10,000 euros (about 95,000 crowns in transition sum to sign labor contracts, newspapers.), Says Elnæs .
This situation will continue in Europe as companies have ordered so many new aircraft. Then the match will be the one that SAS Ireland meets now.
- Elnæs believes that the SAS brand name has been an advantage and that many still associate it with something positive.
Also read, if there are no good framework conditions, select the drivers from the upper shelf. : Ryanair establishes 300 flights across Europe due to crew strikes
– May increase pilot salaries
– But SAS Ireland is a cheap carrier to compete low cost airlines. Then they get to know the flight when there is a strong demand in the flight crew market.
He thinks that SAS has no choice but to increase the salary of the pilot at SAIL – and adapt it to market conditions. has also used CAE Parc for several years.
– What it is about should not be new to the actors. But with regard to Ryanair's shares, and increased the salary and adjusted the employment contract for the pilots: it goes without saying;
– Is the hour of cheap airlines over?
– No, it is not finished. They will take over – they are the most growing in Europe, the sticks of Hans Jørgen Elnæs.
An education of civil aviation costs about 1.2-1.3 million crowns to complete.
Information director Knut Morten Johansen in SAS is familiar with
SAS employees come out of school bench
– What is described is a general shortage of pilots in the world that, of course, SAS follows. For SAS, we have so far been skeptical about this. Currently, we have about 2200 candidates who will start SAS as a pilot. They come from other companies like Norwegian, Ryanair and various recruitment agencies. Knut Morten Johansen told ABC News that SAS was using pilots directly from school bench for the first time last year, and points out:
– SAS's pilot needs because of the natural retreat will be between 50 and 100 per year. 2020. We are working with air transport schools in Scandinavia to ensure that graduates get a professional level to meet the strict requirements of SAS.
While SAS boss, Gustafson, confirms that traffic congestion is due to "specific challenges in City Jet and SAS Ireland," says Johansen, the information manager, according to which they constitute a very small part of the activity.
– What measures will SAS take? for that they reach the expected production?
– SAS Ireland represents a very small proportion of the total SAS activity. The company has been established as an offensive approach to the competitive situation that applies to the leisure and leisure market. SAS is the only company to leave Scandinavia with 20-25% higher costs than its competitors. Travelers want cheap flights, and SAS has the option of not traveling individual routes or operating at the same level of cost as others. By creating a base in London, and later in Malaga, we do it. On the crew side, we do this under local conditions, and the high standards we set for our crews and our flights in general, Knut Morten Johansen says an email, adding:
Replacement claims City Jet?
– SAS Ireland is a (small) production platform like other regional partners – in addition to the long distance and the traditional SK section (core business, ed). In case of irregularities and resource requirements, we can cover them dynamically. Acute needs can also be solved, but they are more demanding, while in the long run, there are good examples of earnings for the benefit of travelers. Several routes and frequencies with the right size of aircraft according to the actual demand are achieved, which has provided many new good connections across Norway to the Star Alliance global network of SAS
– SAS will it need outsourcing compensation? City Jet that did not deliver the ordered production?
– Of course we will not comment on relations and conversations with our partners
Read also: Thousands of passengers affected – 33 flights scheduled Saturday: SAS crisis: nearly 700 departures canceled due to lack of personnel
– The possibility of finding alternatives on other aircraft and on other partners is more limited than in the rest of the year. Knut Morten Johansen, information manager at SAS about the cancellations that he considers "constituting a little prom". Photo: Torstein Bøe / NTB scanpix
He writes the information manager Knut Morten Johansen in an email to ABC News, where he draws up the cancellations like this:
"A cancellation made several weeks / month in advance Most travelers destroy their trip when they are taken care of.The reason we make such changes can often be planning that takes into account the use of resources. There are cancellations that occur due to technical problems, weather conditions, ATC (air traffic control, emergency report), illness, etc., as these weekends have been particularly stressful for our
is a relatively limited number of cancellations, planes in the summer are usually very full and the ability to find alternatives on other aircraft and at other partners is more limited that otherwise in the year.
You can not read statistics as plugged in as you do now, because "crew problems" and "understaffing" have the same cause in another place and in another region (typically ATC) but where delays lead to limitations on hours of work and rest periods. When the use of resources to reserve power is also used – exactly where the person is located, there may be a delayed or canceled start.
This first half of the year, SAS suffered as many delays. ATC (Air Traffic Control) in Europe, as in 2017. This is not unique to SAS, but it strikes companies unevenly.
This calls into question the availability of aircraft and crew access to everyone. there has been a lot of effort to spare passengers from the consequences, and we have succeeded to that extent.
However, the individual traveler will be the most eager to reach your path and this is our main goal in this connection. We apologize to anyone whose travel plans are not completed at the scheduled time, but there is no doubt that our employees are doing what they can to minimize the inconvenience. "
- Elnæs believes that the SAS brand name has been an advantage and that many still associate it with something positive.
[ad_2]
Source link