CEO appeals to GWU to conclude collective agreement negotiations
Karl Stagno-Navarra
Faced with record losses estimated to exceed €25 million, Air Malta CEO Joe Capello has described the current situation at the airline as “scraping the very bottom.”
However, he has expressed his personal optimism that a turnaround could be achieved should measures currently undertaken by management to increase revenues continue.
Speaking to Business Today, Joe Capello insisted that a concerted effort by all at the airline is needed to keep the ship afloat. He appealed to the General Workers’ Union to be forthcoming and “understanding” of the need for workers to be flexible, as it continues to negotiate a collective agreement with the airline.
While a week has passed since this paper reported the possible resignation of Lawrence Zammit from his post as chairman of Air Malta, Joe Capello steered clear of entering into any controversy, stressing instead that the airline needs to conclude negotiations with the GWU.
According to Capello, negotiations with the GWU have been ongoing for the past two years, while all other negotiations with the three other unions representing the pilots, cabin crew and engineers respectively have long been concluded and agreed.
“What we are asking for is for the GWU to understand that for this airline to survive it is imperative to have our fixed costs converted into variables,” Joe Capello said.
He described the last two years as the toughest he ever faced inside the company since its inception 35 years ago. “We face tough challenges, not only in costs but most of all in changes of travel trends, and competiveness with other airlines, but I am confident that if we all recognise the efforts that are being made to counter this tough time, this airline that has a solid past, could confirm its present and most of all its future.”
