June 9

More articles from the category

June 9

Neos: “No state aid for AUA pensions”

The poor performance of the AUA pension fund is now also causing a stir in politics. The Neos suspect that a large part of the state aid could be used up for the pensions of former employees. Austrian Airlines currently has around 120 million euros set aside in its balance sheet for additional contributions to the pension fund. This is a major annoyance to Gerald Loacker, social spokesman for the Neos. He believes that a significant part of the state aid amounting to 150 million euros could be eaten up for pension payments to particularly privileged former employees. "It cannot be that all taxpayers are now spending hundreds of millions of euros to save Austrian Airlines and that active staff are repeatedly faced with salary cuts while a few insist on their special pensions. I expect solidarity with the current staff here," said the politician. "The aid package for Austrian will therefore largely go towards high company pensions in 2021. This must be stopped immediately with interventions."

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Kosice back on the network from June 15, 2020

CSA and Austrian Airlines are the first two airlines to resume their flights from Slovakia's second largest airport. International air traffic will also resume in Slovakia in the next few days. In Kosice, CSA will again operate three weekly flights to Prague from June 15, 2020. Austrian Airlines will fly to Vienna four times a week from June 22, 2020. Other airlines are to follow in the coming weeks and months, the airport said in a press release. In future, access to the terminal at Kosice Airport will only be permitted to passengers with a valid ticket. Furthermore, wearing mouth and nose masks is mandatory. The airport also installed thermal imaging cameras to monitor the temperature of all travelers. A safety distance of two meters must also be maintained. Michael Tmej, Executive Director and Chairman of the Board of Directors of Košice Airport, said: “Thanks to government support measures, we are overcoming this enormously challenging time and have not had to cancel any jobs. We took advantage of the fact that the airport was closed for various repairs, preparation and disinfection work to make passengers feel not only comfortable but also safe at the airport. We are very happy that travel conditions have improved and we can welcome our passengers at Košice Airport. We believe that flying will soon return to our daily lives and we are doing everything we can to make passengers feel safe with us and enjoy a pleasant time before departure, whether for work or vacation." With the crisis management decision of 9.6.2020 June XNUMX, the free movement of people was extended to the following countries: Germany, Liechtenstein,

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AUA rescue: Federal states feel left behind

The AUA has been saved, but the connections from Vienna to Salzburg, Graz and Klagenfurt are not a done deal. This is a concern for the Chamber of Commerce. In the federal states, the fact that Austrian Airlines has to give up some ultra-short-haul flights within Austria or that these are subject to a horrendous tax is not exactly generating enthusiasm. The Chambers of Commerce of Carinthia and Styria are criticizing the government's approach. Whole regions would be left dependent on the outside world, according to the tenor from the business community. "I am pleased that the federal government has succeeded in securing the AUA and Vienna Airport in the long term. But I also expect that this will also mean that domestic air traffic within Austria will resume. Carinthia needs the airport and the connection to international hubs as a place to live," said Carinthia's Chamber of Commerce President Jürgen Mandl today. From an economic point of view, in the interest of the tourism country, but also as an identity-forming regional infrastructure, Klagenfurt Airport and its integration into the AUA route network are indispensable. The WKO official also demands that AUA should pay off its debts to travel agencies: "Here, around 200 million euros were paid by domestic travel agencies for flights that were later canceled due to the corona crisis and retained by AUA, although the travel agencies in turn refunded the customers' deposits. This money must immediately flow back to the travel agencies, whose situation is already difficult enough due to the ongoing travel restrictions." WKO: Loss of the AUA connection to Vienna weakens Styria and Salzburg In Styria, WKO President Josef Herk and IV Chairman Georg Knill criticize the impending loss of the connection from Graz to the Austrian Airlines hub

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Wizzair and Lauda: “Minimum prices? No thanks!”

Unsurprisingly, Wizzair and its competitor Lauda are not very keen on minimum prices for airline tickets. Yesterday's announcement by the federal government that minimum prices for airline tickets are to be introduced came as quite a surprise. The two cheapest providers at Vienna Airport, Lauda and Wizzair, apparently knew nothing about it, but want to wait and see whether it will actually become a legal regulation. Lauda managing director David O'Brien explained in an interview with Aviation.Direct that it is currently just an announcement by the federal government and that the legal basis for it has not yet been created. Nevertheless, he is surprised: "Please show me an industry with state-imposed minimum prices? Every hairdresser, every supermarket and every other business is free to set their own prices. If the Austrian government actually implements the announcement, it will be a throwback to the 1970s to protect Austrian Airlines." The Lauda manager was particularly annoyed that Lufthansa boss Carsten Spohr had demanded minimum prices for airline tickets just a few weeks ago and said at an investor conference that the group did not need state aid at all, but was just trying to get it. "Carsten Spohr had this stupid idea in Germany and Austrian Chancellor Kurz agreed to it as part of the state aid for Austrian Airlines. The Lufthansa Group operates old aircraft with a low load factor, which is much more harmful to the environment than we do. High capacity utilization and modern aircraft are simply more environmentally friendly. The artificial increase in ticket prices also has other fatal consequences: regular social distancing will come to Europe. We reject minimum prices for airline tickets and are convinced that

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France is loosing billions for aviation

The government wants to avert an existential threat. "The aviation industry is our national pride," said Economics and Finance Minister Bruno Le Maire, introducing the rescue package in Paris. The French government is therefore providing the industry with 15 billion euros. This is intended to avert an "existential threat" posed by the corona pandemic. The importance of this branch of industry for France can be visualized using figures. Almost 200.000 people are employed in this sector, as handelsblatt.com reports. 48.000 alone at Airbus, the largest aircraft manufacturer in the world. The state aid is also intended to help domestic companies keep up with their competitors.

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Air Malta will fly again from July 1, 2020

The smallest member of the European Union is opening up to tourists again. Therefore, Air Malta will resume flight operations from July 1, 2020. Air Malta is waking up from its Corona sleep: After several weeks of standby, the starting signal will be given from July 1. The airline will fly to nine airports, including Catania (Sicily), Frankfurt, Munich, Düsseldorf, Berlin, Prague and the city of Luxembourg. Geneva and Zurich would follow just a week later. As is easy to see, the carrier is concentrating on so-called safe places. In these regions, the corona virus risk is classified as very low. This is why arriving passengers do not have to show a negative PCR test or undergo 14 days of self-isolation.

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AUA finally discontinues Salzburg-Vienna

Austrian Airlines' Corona comeback will not take place in Salzburg. The carrier is withdrawing after more than 60 years of presence. Flight operations in Salzburg are picking up speed again: After empty halls, restrictions and stand-by operations, things are getting busier again in the city of Mozart. Airline partners such as Eurowings, Ryanair and Turkish Airlines are resuming their flights from Salzburg with the aim of reaching pre-Corona levels as quickly as possible. Despite all the joy about the gradual normalization, there is also less good news for the airport. Home carrier Austrian Airlines, of all things, is now turning its back on the Salzburg location. After 60 years, the Vienna-Salzburg flight connection is being discontinued. "It is very pleasing for Austria as a business location that AUA will continue to exist as an Austrian airline. We are all the more sorry that Salzburg will no longer be part of AUA's route network in the future. Particularly because only a fraction of passengers wanted to reach Vienna as their final destination, while over 90% used Austrian's hub at Vienna Airport to reach destinations all over the world," said Bettina Ganghofer, Managing Director of Salzburg Airport.

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Wizzair with four new routes from Vienna

Direct competition to Lauda is still being sought with four additional routes from Vienna. With Bucharest, Barcelona, ​​Santorini and Mahon, the Hungarian low-cost airline Wizzair has announced four additional routes from Vienna-Schwechat. These are to begin in mid-July 2020. With the exception of Menorca, this will further intensify competition with Lauda. From July 15, 2020, flights to Bucharest and Barcelona will be Monday, Wednesday, Thursday, Friday and Sunday. Mahon (Menorca) will begin on July 17, 2020 and will be served on Mondays and Fridays. From July 18, 2020, flights to Santorini (Greece) will be available on Tuesdays and Saturdays. “It is a great pleasure for me to announce the addition of four new routes from Vienna. Today's announcement underlines our long-term commitment to Vienna and the Austrian aviation market. Our goal is to offer our Austrian passengers more and more affordable travel options. We invite all travellers to discover these and other great European destinations with one of the youngest and most modern aircraft fleets and to enjoy the great fares and services on board Wizz,” said Wizzair spokesman András Rado.

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Comment: Minimum prices ad absurdum?

"For the sake of the environment," Austria's government wants to introduce minimum prices for airline tickets. But the plans do not seem to be fully developed yet. A comment on current events. The events of Monday have reshuffled the cards at Austria's aviation location: Ryanair subsidiary Lauda will keep its base in Vienna open, albeit on a smaller scale. Instead of 16 Airbus A320s, ten aircraft will be used from August. The Republic of Austria will give Austrian Airlines financial support. The government announced a rescue package worth millions, which will be financed in cooperation with Lufthansa and Austrian banks. The adjustment of the ticket tax to a uniform 2021 euros, originally planned for 12, is now being brought forward, but this is unlikely to really bring about changes in the market. The anti-dumping regulation presented by the government is more likely to change the market. In future, there will no longer be any tickets under around 40 euros. Specifically, the government said that tickets may no longer be sold below the price of the taxes and fees and the ticket tax. This has an impact on low-cost offers, especially from Wizzair and Lauda, ​​which often sell tickets starting at 9,99 euros. If the government's plans can be implemented as presented, the cheapest ticket would cost 40 euros one way in the future. However, it seems questionable to what extent such an anti-dumping regulation can be enforced within the European Union. It is a gross infringement on the entrepreneurial freedom to set prices. It would therefore not be surprising if one or two providers took legal action against the new law, which has not yet been passed by the National Council.

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AUA: GPA criticizes the lack of state participation

The union is largely satisfied with the rescue of AUA, but state involvement would have been better. The union GPA-DJP sees the rescue package presented by the Austrian federal government for the Lufthansa subsidiary Austrian Airlines on Monday as largely positive. However, it is critical of the government's decision not to involve the Republic of Austria. The opportunity to secure the Vienna location in the long term, even beyond the next ten years, has been missed, explains Federal Managing Director Karl Dürtscher. Rene Pfister, Chairman of the Works Council for the ground staff of Austrian Airlines, is reassured: "By rescuing AUA, thousands of jobs can be secured. This is not just about a strategically essential branch of the economy, but also about the livelihoods of thousands of employees." "The Republic's stepping in secures the Vienna hub and thus also the business and conference location as well as growth prospects. It shows once again that the market alone is anything but crisis-proof and a strong state is the best crisis medicine," says Dürtscher.

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