The Malta Independent 25 April 2024, Thursday
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Air Malta pilots speak up against downsizing of fleet, say it will reduce competitiveness

Saturday, 30 May 2015, 19:56 Last update: about 10 years ago

The Air Malta Pilots Association said it is concerned that the downsizing of the fleet move could make matters worse for the airline and that it will further undermine Air Malta’s capability to compete in today’s markets. Furthermore, it seems to show that Air Malta is not looking into its long term survival, but rather into short term quick fixes.

In a statement issued Saturday, ALPA said a reduction in the number of aircraft will bring about a reduction in capacity, which in turn could mean that Air Malta loses more of its current market share. The importance of the airline keeping its current market share has already been emphasised by various industry stakeholders. ALPA is of the opinion that Air Malta should rather work towards increasing its market share and a reduction in the number of aircraft will definitely not help in this matter.

Rather, it will only undermine Air Malta’s expansion prospects, and ultimately, its only survival. Furthermore, one of Air Malta’s biggest disadvantages has always been associated with economies of scale due to it being a relatively small carrier. Meanwhile, it has to compete directly with carriers having current fleet sizes and aircraft orders running into hundreds.

A further fleet reduction will only increase this disadvantage. Whilst taking note of and welcoming Air Malta’s recent statement announcing a planned increase in flights for the coming winter, ALPA hopes that a detailed analysis of the current route structure was done beforehand, especially since the statement implied that the airline will be operating more flights with less aircraft. Whilst we agree with increasing aircraft utilisation, we do have our concerns whether such plans are feasible and possible.

A reduction in fleet size also casts doubts on future plans for Air Malta. ALPA is adamant that the long term vision for the airline, after years of restructuring, should be growth and thus we feel that such a plan is only a short term quick fix, the consequences of which could be catastrophic in the longer term.

Also, whilst understanding that fleet reduction would result in lower costs, it would inevitably be accompanied by a reduction in generated revenue, with the result being less chance for the airline making a profit. ALPA thus urges Air Malta to look into revenue generating initiatives, some of which have been proposed for too long by various stakeholders, including ALPA, so as to secure a future for the airline.

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