Air France-KLM Blame French Strikes for Lower Passenger numbers
Air France-KLM have revealed their passenger statistics today (May 11, 2018). They said that traffic had fallen by 2.6% in April. Recently on the headlines, Air France has endured some tough times, with pilots going on strike in order to increase wages by 6%. However, this is no longer possible, say Air France, as the airline would no longer be able to be competitive against European and International rivals. If the 6% is accepted by the Air France management, it is likely it will enter financial issues, and later bankruptcy protection, depending on how far the Air France staff are willing to go and whether they would mind the airline ceasing operations.
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With the recent resignation of Jean-Marc Janaillac, the Air France-KLM CEO, the airline is dealing with a lot. KLM is also feeling the pressure, as both airlines have a long standing alliance. Although based in Amsterdam, Netherlands, Jean-Marc Janaillac is also its CEO however he said he would resign.
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(Photo from businesstraveller.com)
However, KLM has not faced what Air France is facing, as passenger numbers for the Dutch airline increased by 5.2% year on year in April, whereas Air France traffic decreased by 8.7%. In total, the group carried 8.2 million passengers, 2.5% compared to the same period the previous year.
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Air France employees have been complaining about their wages for a few weeks now. Strikes are common, usually occurring about two times a week. However, Air France has been trying its hardest to deal with the situation and only a handful of flights have been cancelled. To find out more on the subject, read our article called 'Air France Forced to Ground a Boeing 787'.
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Air France offered a package, although not what they asked for, to the staff, however it was rejected over and over again. The Air France-KLM management are to meet next week in order to appoint a new CEO to succeed Jean-Marc Janaillac, who lasted less than 2 years in the job.