Kenya Airways pilots call for investigation into financial woes
Unionized pilots of Kenya Airways (KQ) have called for thorough investigations into the continued financial decline of the airline.
This is one of the conditions laid out by the Kenya Airline Pilots Association (KALPA), before they endorse plans to nationalize the carrier.
According to the pilots, nationalizing Kenya Airways will only succeed if the Government thoroughly investigates some of the issues that have bedeviled the company in the recent years.
The demand comes as Kenya Airways pilots seemingly fight a stance taken by management that they are in part to blame for the airline’s turbulent ride.
“The sudden and constant attacks on the CBA (collective bargaining agreement) by Kenya Airways management are testament to looking for a scapegoat in pilots for their financial mismanagement, thus a deliberate attempt to divert attention from the real problems facing the airline,” KALPA general secretary Capt. Murithi Nyagah said at a briefing on Tuesday.
In February 2016, the airline hired Deloitte to identify areas of weakness in its operations after the company sank into debts and losses in 2014.
The audit trail revealed a story of plunder and theft; fraud was involved in many areas of the company’s operations, from ticketing, fuel and accounting.
Kenya Airways posted an 8.56 billion shillings (US77.7 million) half year loss, further compounding its troubles.
Faced with dwindling operating cash as well a shortage of pilots to fly its planes, the airline is in the process of cutting its flights in the coming weeks.
More than 140 pilots have left Kenya Airways in the last three years, which has further complicated the pilot shortage.
“Kenya Airways owes pilots a backlog of 40,000 annual leave days as many take on extra hours to avoid cancellations,” Nyagah added.
The airline, which has been struggling to return to profitability and growth, is banking on the nationalization to turn around its fortunes.
It believes that the benefits of scrapping of taxes after nationalization will improve its financial position.
Last week Kenya Airways scratched a proposal to manage the country’s largest airport, the Jomo Kenyatta International Airport (JKIA), to give it hub advantage.