European petition against “Pay to fly”
We originally intended to cover the February 12-13th ECA conference now more than a year ago (picture above) on Atypical Employment but given the cheer amount of information to process at the time, today we will lay back and offer instead a list of notable worldwide articles that were influenced by said conference and, most importantly, the Ghent University study.
For future reference and research purposes, there goes a non-exhaustive list of subsequent articles, triggered by Yves Jorens' team, IRIS director and Ghent University author of the atypical employment study.
Articles marked with an X are more geared towards P2F specifically
To be updated as new articles arise.
From P2F enabler Norwegian Air Shuttle (NAS). Source: internal.
Words from the CEO: Safe Summer Operations
Published:22.06.2016 By:Helene Løken
We are moving into peak season for our operations. As our May traffic figures show we continue to have a record number of customers on our flights.Norwegian is now the world’s sixth largest low-cost airline and with our global expansion plans, we will continue to climb that ladder.
20 years ago we started flying a tiny fleet of Fokker aircraft on a few domestic routes in Norway. In just four years from now, we will have a long-haul fleet of more than 40 Dreamliners and a solid fleet of 737s. This creates opportunities not only for the customers, but also for us working for Norwegian. We have a growing number of dedicated and competent crew operating from 19 bases in 10 countries, as well as competent and dedicated technical personnel, ground handlers and administration staff ensuring that our more than 26 million customers get a high quality experience.
As you are aware of, we are facing some challenges in our summer operations well explained on Red Nose by our Chief Operating Officer Geir Steiro. The top management team and I are doing everything we can to reduce the impact on our vacation-ready passengers.
Our battle to open the U.S. skies for one of our two EU air carriers (NUK or NAI) continues and I am confident that we will get our lawful permit. We got the provisional approval for our Irish carrier (NAI) in mid-April, and we are waiting for an answer for a permit to fly to the U.S. on our UK carrier (NUK). We continue to meet massive support on both sides of the Atlantic. Even Boeing, which normally does not take a public position on political issues, came out supporting us. The EU has stated that they share our impatience, and has encouraged the U.S. Department of Transportation to approve our application without further delay, arguing that declining to do so violates the Open Skies Agreement, an agreement set up to enable more competition in transatlantic travel. When our EU carrier receives its U.S. foreign air carrier permit, we are closer to fulfilling our vision of offering affordable fares to all by connecting our transatlantic routes with future Asian, African and South American routes. By seamlessly connecting the continents, we are able to build a strong and competitive global operation, in line with our strategy.
In Norway we had an important win in our overall battle to secure fair and equal competition. The Norwegian government has finally confirmed that the national rules will be harmonized with EU rules and practices. Our opponents have argued that following EU rules allowing our Thai and US colleagues to work on Norwegian-registered aircraft is a safety issue. This is of course absolute nonsense. Fortunately, the Norwegian government has made its ruling based on facts, which for us specifically means that our U.S. based and Thailand based crew can stay overnight in Norway when flying on Norwegian registered aircraft. In addition, the current restrictions on wet leasing foreign-registered aircraft will be repealed. Through this law amendment, the Norwegian government finally gives a green light for fair competition, which is what we truly believe in.
On another note, I am also very pleased that our UK pilots now have a collective labour agreement in place. At Norwegian, we respect the right to third party representation and work towards establishing local agreements in all markets we operate – if our staff so desire.
Going into peak season, I would like to ask you all to think of what you can do to reduce risk and improve quality in all our operations be it in the office, our technical halls or up in the air. We have strengthened our Group emergency response preparedness by placing it as a Group function. I would like to underscore that all crisis communication and management is based on Norwegian as onebrand. This is important as we have an obligation for the care of our passengers as well as our co-workers and all of us have an important stake in making sure that happens.
I wish you all safe summer operations be it in the air, or on the ground, working together to make sure we together continue to deliver award-winning service to our customers!
The Words from the CEO is open for questions and comments. Comments and questions will be read and answered in a separate questions and answers document in due time.
Presented with no comment.
Luxembourg, 6 June 2016 — Europeans for Fair Competition (E4FC) is a coalition of concerned Europeans who have unified across EU member nation boundaries and labor-management lines with the goal of establishing a level playing field with countries that subsidise their airlines in violation of European air service agreements, notably the United Arab Emirates and the State of Qatar.
...that the nations of Qatar and the United Arab Emirates have injected over €39 billion (between 2004-2014 alone) in government subsidies and benefits into their state-owned airlines. These nations and their subsidised airlines have used these funds to develop services and massive capacity between Europe and Asia via their hubs and are proceeding with a certain number of strategic investments in European airlines to feed their own operations, capture, and shift market access. European airlines and their employees can compete with Middle Eastern airlines directly, however, it is an entirely different matter for them to compete with Middle Eastern governments that heavily subsidise their state-owned airlines.
In December of 2015, the European Commission introduced a comprehensive strategy for the European aviation sector. This strategy, commonly known as “European Aviation Strategy”, includes “fair competition” principles and language introducing new methods of addressing unfair practices from third countries and third-country operators through adoption of comprehensive EU- level agreements.
It is vital that the EU continues to pursue a comprehensive policy that strengthens the accessibility of European hubs to safeguard connectivity and consumer choice long term. We, therefore, call on the EU Commission and Transport Council to deliver to the European Commission a mandate to negotiate with third countries EU level Aviation Agreements that include strong provisions guaranteeing fair competition. We also call for the inclusion of the oversight and enforcement procedures necessary for any future air services agreement to be concluded between the EU and third countries, notably the State of Qatar and the United Arab Emirates, where massive government subsidy distortions are already wreaking havoc in the European aviation market. We finally call on the Commission to implement its Aviation Strategy by promoting the adoption by the European Institutions of a new defence instrument guaranteeing protection of EU air carriers against subsidisation and unfair pricing practices from third country airlines
To learn more and take action visit: http://e4fc.eu/
Like them on Facebook: http://www.facebook.com/faircompetitionEU
Follow them on Twitter: @CompetitionEU
Following our previous coverage of Royal Air Maroc's (RAM) refutation of P2F collaboration, despite already proven deals, the time has come to probe the existence of its ties with the rampant cartel involving P2F advocate Baltic Aviation Academy (BAA).
"Slanderous allegations aired on the "Pièces à conviction" TV show. [BAA's] claims according which [our] company resorts to foreign pilot training without "requiring prior evaluation", are untrue [as we] never collaborated with [them] [...] The producers relied on a bogus testimony to bolster erroneous conclusions [so we] will sue"_source
We contacted Julien Fournier that agreed to share his mail exchange with anonymized BAA Projects Manager Renata Kudabaitė, prior the release of the TV show. We enhanced authentication with the provision of Ms Kudabaite's business card collected on site (both recto and verso):
"Regarding your questions: You are right, [€62,5k for RAM] are only for line training [...] during [which] there is no salary [...] To start any of [these] programs, pilot needs to have TR already [...] For [...] RAM and Vietjet, pilots can apply with TR from other ATO's [than BAA]".
Comes the story of John.
Instead of accepting a P2F proposal with Blue Air in Romania, John, B737 Type Rated at BAA's in july 2014, settled for 500 hours with RAM like 27 other pilots, as shown in his communication with BAA Project Manager Ingrida Reket:
At this point, every middle man providing no discernible services whatsoever, walks away with a commission... except for the actual pilot. Mercifully, we omitted the involvement of RAM with EagleJet, yet another P2F broker...
Worst, by May 19,
John and his colleagues waited for
their moroccan licences, badges, uniforms
and be transfered from CasaAero to RAM. One last training day took place in June 9, after which flights were supposed to happen. Mr Tritar tried to reassure his "customers" in June 12, only for John to figure out in Aug.25 only 3 or 4 Captains were willing to fly with them.
Disgusted, John left RAM in Aug.26, 2 pilots having left already with 6 others to follow a few months later. Over 27 pilots, only 3 had their agreement honored and flew with RAM. Judiciary action was attempted but rebutted.
In an industry infested with parasites (such as P2F father Thomas Cooper, disreputable Jean-Marc Bollinger, delusional Michael Hickey, infamous Stephane Hoinville), a sad day has come when a national airline covertly indulges in villainy with pimps and racketeers of that ilk.
In the hubristic exercise of denial that followed, RAM flushed its credibility down the toilet, while the truth remained like the feces that wouldn't.
Edit June 10th: "to put out the fire, RAM had to halt their P2F, grounding several of their aircraft"_Source
Already getting media attention for all the wrong reasons, one of our readers drew our attention on the Avia Solutions Group. As a reminder, the Lithuanian holding (overseeing 20 services firm) owns the largest eastern p2f cashing machine known to date:
Reviving Greek mythology, it seems Avia Solutions wants us to believe in Sirens, beautiful creatures luring nearby sailors pilots with enchanting commercial songs to shipwreck transfer money on the rocky coast of their island exotic bank accounts.
... or the copyrighted work of Russian Milles Studio for Shutterstock ?
... or a model from a New York based firm ?
Avia Solutions admin ? A make-up model ? Or simply american writer Sarah Dorn ?
... or a model on a wallpaper ? What about...
... who looks a lot like model Sydney W. Not convinced ?
... clearly Emma MacLaren, model for Burberry, Elle, Glamour, Vogue. Still in denial ?
Meet Finnish model Julia Johansen for Vogue, Elite, Giorgio Armani and Chanel Couture.
Well, we have bigger fish to fry. Either successful models are extremely playful, or someone somewhere understood 96% of pro pilots are male ! Mr Linas Dovydenas might want to check on the tooth fairy, this one is up to no good :
This March 23 aired a French TV report about p2f notably (with our proud participation), exposing Small Planet Airlines, Vietjet and Royal Air Maroc among the offenders.
We knew since 2012 Royal Air Maroc (RAM) was involved in pay-to-fly, selling 500 work hours 14,000€ through its subsidiary RAM Express via the Toulouse base of the ETOPS intermediary agency (as proves this contract), but it seems media caught up to further facts only today, triggering a scandal long overdue :
Obviously, RAM denied everything altogether claiming "false allegations, fake testimonials and defamation" in an official press release the same day :
With a coming challenge to court against the TV report producer, we already know how they're going to spin this, arguing their pilots are screened against selection during the p2f program while the report stated accurately that to reach said program, you only have to pay (and not be screened).
We hope this technicality won't distract future investigators from the facts:
RAM does make some of their foreign pilots pay to work... while local pilots asked 2 extra years of education to reach engineer degrees remain unemployed for some reasons.
"Under the current conditions, this activity no longer fits in with [our] product offering".
Back in October, Quebec put taxpayers on the hook for a $1 billion bailout of planemaker Bombardier (which was having one hell of a hard time creating a buzz around its CSeries commercial jet program).
Bombardier has been around for nearly 8 decades and employs more than 40,000 people in the province. The company’s role in the provincial economy is “incalculable,” Quebec’s Economy Minister Jacques Daoust said last year. “How can I let them go?” he asked.
For its money, Quebec would get a 49.5% stake in a new business that will own the assets and liabilities of the CSeries commercial jet program (which isn't exactly going well). In exchange, the company promised to manufacture the aircraft in the province for at least 20 years.
“How confident is Quebec that this will fan out for the economy and taxpayers? That’s what we don’t know,” Paul Boothe, a former senior Canadian official
...who was the federal government’s lead negotiator with the domestic units of GM during bailout talks in 2009 said at the time.
Well, now we do know. On Wednesday, Bombardier announced it’s cutting 7,000 jobs as part of a “global workforce optimization.”
“Impacted positions are mostly based in Canada and Europe,” the company said this morning, after reporting results that missed estimates on both the top and bottom line. Here’s the breakdown:
So obviously that sounds bad, but don't worry because the job losses will be "partially offset" by hiring in "certain growth areas." Like the CSeries program. Which is "growing" so fast that the company had to take a $1 billion bailout from the provincial government to shore it up.
"Production rates for some models have been modified," Bombardier goes on to say, in an attempt to explain the layoffs, "due to macroeconomic conditions." For those who don't read a lot of quarterly reports, that's a polite way of saying this: "demand is really, really soft."
The company says the CSeries program has "generated new jobs at the Bombardier facility in Mirabel, Québec," although the number of new jobs isn't specified nor does the company indicate what the net job creation (or, more likely, "job destruction") will be in Canada after the "optimization" is implemented.
As for the company's 2016 outlook, revenue guidance looks well short of estimates at $16.5-17.5 billion (consensus was $18.2 billion), while FCF usage is generally in line at between $1 billion to $1.3 billion, although if it comes in at the high end, that will be close to the highest analyst estimate. The company burned $1.82 billion in 2015. Here's the full guidance breakdown:
On the bright side, Bombardier and Air Canada announced today that they've signed a Letter of Intent for the sale and purchase of 45 CS300 aircraft with options for an additional 30 CS300 aircraft, including conversion rights to the CS100 aircraft.
Oh, and the company is going to try a reverse split to make it seem like its shares aren't worthless.
So there you go Canada, Bombardier thanks you for the $1 billion you gave it. Any time you want to fork over some more money in exchange for thousands of layoffs, make sure to let the company know. They'll be happy to oblige.