Air Canada announced (20-Sep-2012) plans to hire up to 1100 staff over the next 12 months. 900 staff will be for Air Canada including 400 flight attendants and 500 permanent ground staff. Air Canada spokeswoman Angela Mah said, the carrier's mainline hiring is to "compensate for attrition, for example for retirements, but also for new jobs such as at our Montreal and Toronto call centres.” The carrier’s proposed LCC start-up reportedly plans to hire 200 staff with 150 flight attendants and 50 pilots. [more - original PR]
Air Canada to hire 1100 staff, 200 for LCC start-up
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Airlines in Transition part 4: Bridging the gap between full service and low-cost or hybrid airlines
Our previous report on CAPA’s Airlines in Transition conference (Airlines in Transition part 3: How full service airlines are reshaping models to be more competitive) looked at how full service carriers are responding to the challenges of a weak global economy, high fuel prices and growing competition from LCCs on short-haul and Gulf carriers on long-haul. The low-cost sector is also going through a period of change, characterised by features summarised at the conference by Professor Rigas Doganis.
Like the FSCs, the LCC sector has seen concentration and consolidation and the two sectors have established a growing number of linkages. Moreover, the relaxation of the pure low-cost model of simplicity and the adoption by FSCs of LCC pricing strategies has narrowed the differences between them. Have the differences been eliminated? What are the challenges faced by LCCs/hybrids? What is the right number of fares to offer? We examine these questions and more in this fourth conference report.
fastjet LCC seeks rapid South African market entry by foregoing JV control to Fastjet Holdings
Having abandoned plans to take-over failed South African LCC 1time, aspiring pan-African carrier fastjet has entered into a complex and controversial deal to gain access to the important South African market where it plans to launch services in Jul-2013.
But the London-listed carrier, which already operates in Tanzania, is coming under increasing pressure from its opponents to lift the veil on the ownership and management structure of its South African partnership designed to satisfy domestic ownership requirements.
Under the structure fastjet has reportedly given up 75% ownership to South African investment company Blockbuster, which has been renamed Fastjet Holdings. The company is reportedly fronted by the eldest son of South African President Jacob Zuma, playboy businessman and lawyer Edward Zuma, along with his business partner Yusuf Kajee.
Opponents, both rival airlines and politicians, allege Fastjet Holdings is little more than a front for fastjet to gain access to South African air rights through a separate arrangement with charter carrier Federal Air, which will operate the fastjet services using its operating licence.