In a press release issued last night, Air Malta said it was surprised by the attitude taken by the Airline Pilots Association – Malta (ALPA), the union representing the airline’s pilots, which declared a dress down as a sign of protest towards the airline.

Air Malta said it believes that the new collective agreement being discussed is well underway and such actions hinder the ongoing discussions between the two parties.

The airline said the Rescue Plan signed in 2004 between Air Malta and the four unions representing the airline’s employees was not just about savings in payroll – it was a company restructuring plan for the whole airline operation.

Thanks to this plan and the participation to all the airlines’ employees represented by their unions, the airline today is in a much stronger position to take on its current challenges, Air Malta said.

While acknowledging the fact that some pilots have resigned to seek new opportunities with other airlines and Air Malta’s pilots average block hours have risen in recent years, pilot payroll figures show that during the rescue plan period the pilots’ average gross yearly salaries have remained relatively static (see table).

Although Air Malta appreciates each employee’s contribution to the plan, the figure of Lm6,000 in payroll given up by each pilot to which ALPA made reference to during the rescue plan is incorrect, the statement said.

Air Malta’s pilot recruitment is an ongoing process and the airline has issued calls for applications among its staff members and the public. Calls have been issued to candidates with a Commercial Pilot Licence (CPL) and also for ab-initio pilots. The selection of the latter is being finalised while cadet pilots chosen from among employees have already commenced their training. A number of new recruits who held a CPL have already started flying with the airline, Air Malta said.

A year before the signing of the Rescue Plan in 2003, the airline incurred a loss of Lm13m. During the last financial year Air Malta registered a loss of Lm3m – therefore improving its performance by Lm10m. For the first time in its history, the airline carried more than two million passengers on its network. Had it not been for the unprecedented increase in the fuel prices, the airline would now be in the black, Air Malta said.

This clearly shows that the airline has managed to exceed its obligation within the Rescue Plan.

The airline also acknowledged the fact that all the unions, including ALPA, have also met all their obligations within the plan.

Air Malta said that Malta’s tourism seasonality pattern has always affected the airline’s financial performance in the lean winter months. In these last two years the airline has increased its marketing efforts and was successful to lease out excess aircraft capacity while giving its cockpit crew the opportunity to work abroad.

The airline said it is fully aware that ALPA has fully supported these lease-outs which give their members an increased income while enhancing their professional careers.

Air Malta acknowledged that these lease-outs have affected the leave plans of its pilots, with part of their annual vacation entitlement being carried forward to the subsequent year. This situation also occurred in other departments across the company, Air Malta said.

The airline said it believes that only through cordial negotiations can an agreement be reached in the interest of all parties.