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Domestic Airlines Grounds All Aircrafts Amid Coronavirus Pandemic, Lose Billions
All Azman Air workers have gone on no-pay compulsory leave as domestic airlines ground all 76 aircrafts amid coronavirus pandemic.
Aside from fixed cost, which runs into billions of naira, Arik Air; Aero; Dana Air; Max Air; Azman; Air Peace; Overland and Ibom Air, will be losing billions of naira in revenue during the shutdown.
Air Peace airline has already lost ₦2.1 billion in the past three weeks due to plummeting load factor.
All domestic airlines in Nigeria have temporarily laid off their workers due to low flight demands caused by Coronavirus outbreak.
Just like its foreign counterparts, some of the measures to curtail the coronavirus, including border closures and travel bans, have forced the eight domestic airlines to ground more than 76 aircrafts in Lagos, Abuja and other airports across the country.
Following the shutting down of operations across the country, over 6,000 airline workers have been sent on compulsory leave.
While most of the airlines are yet to decide whether to pay their workers during the short break, Azman Air has issued a circular to all its workers to go on compulsory leave without pay.
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Related Post : Domestic Airlines Record Steady Passenger Increase
The memo on compulsory leave without pay, which was issued on March 25, was signed by the General Manager, Alhaji Lawan Suleiman.
It read in part :
“As you are aware, the current happenings worldwide regarding the COVID-19 issue, particularly in Nigeria, where it persists on every basis and the protective measures being taken by almost all work environments, including government and private organisations, management deems it imperative to suspend operation generally.
“This is with a view to protecting both passengers and staff from the impact of the phenomena.
“In view of the above, Azman Air management informs all staff that effective midnight March 27 it will suspend and shut down operation for two weeks to resume work on April 11.
It is to be noted also that all night guards are exempted from the suspension of operation, therefore, remain on duty to ensure the safety of our aircraft.
“Management regrets this action is taken, which is beyond its control. All workers’ March salaries will be paid on or before the effective date and require them to be on the alert to resume duty as soon as the phenomenon subsides or is controlled.”
Aside from fixed cost, which runs into billions of naira, the eight carriers, including Arik Air; Aero; Dana Air; Max Air; Azman; Overland and Ibom Air, will be losing billions of naira in revenue during the shutdown.
According to the Chief Operating Officer, Air Peace, Mrs Toyin Olajide, the airline had already lost ₦2. 1bn in the past three weeks due to plummeting load factor which has dropped below 40 per cent.
