France's Transport Minister Dominique Bussereau insisted Paris Charles de Gaulle and Paris Orly airports are not running low on fuel, despite aviation authorities requesting airlines operating short and medium-haul flights arrive with enough fuel for their return flights (Associated Press/AFP, 17-Oct-2010/Bloomberg, 18-Oct-2010). He admitted Nice and Nantes airports’ fuel stocks are weakening, but stated shortages would be “resolved quickly”. The ministry is considering bringing in fuel from Italy to resolve shortages at Nice Airport. There were concerns Charles de Gaulle would have run out of fuel supplies by 18-Oct-2010. The issue is the result of strike action across the country over the past week, during which strikers have blockaded a number of refineries and oil depots. Mr Bussereau stated Charles de Gaulle is now being “perfectly” fed with fuel after its fuel pipeline resumed supplying fuel on 16-Oct-2010. Unions have called for further protests and a national strike on 19-Oct-2010, over the French Government’s plans to raise the minimum retirement age from 60 to 62. French air traffic controllers took part in the strike action on 16-Oct-2010 and 17-Oct-2010, with European airports warning flights to France may be delayed. [more - Cardiff Airport] [more - London Luton Airport]
Government declares Paris airports are not low on fuel
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Europe's aviation strike spike could signal a cyclical peak - with downturn to follow
One swallow does not make a spring and nor does a rash of aviation strike news guarantee a turning point for the aviation industry. But the signs are ominous. In the month of Jun-2016 (to 20-Jun-2016), there have been 136 articles on CAPA's website mentioning the word 'strike'. This compares with 81 for the first 20 days of Jun-2015. For 2016 so far (1-Jan-2016 to 20-Jun-2016), the 's' word has occurred in 594 articles – about 20% more than in the same period in each of the past two years. If this rate continues, 2016 could be the biggest year for strike-related articles since before the global financial crisis.
The vast majority of the Jun-2016 articles – 80% – relate to Europe. A significant source is air traffic control disputes, particularly French ATC. There have also been strikes and/or strike threats involving airport workers and ground handlers. Among European airlines, Air France has generated the most coverage for its ongoing dispute with its pilots, and it may also face a cabin crew strike. Lufthansa has not yet faced a strike by its employees this year, but has not yet reached new agreements with pilots or cabin crew after industrial action last year.
History tells us that labour's demands grow as profits rise. The apparent increase in industrial action this year could be a signal of an approaching peak in the airline profit cycle. There are other causes of unrest, such as impending French labour legislation, but the correlation reflects some history.
Airline strikes: 2016 a peak year for Europe's legacy airlines. Wakeup time, as LCCs pick them off
Pilot strikes at Lufthansa. Again. A strike ballot among British Airways cabin crew. A guilty verdict for Air France workers who assaulted an executive during a union protest. These were all headlines in late Nov-2016, following Air France pilot and cabin crew strikes in summer 2016. Labour relations at Europe's three biggest legacy airline groups are an ongoing challenge.
A CAPA report in Jun-2016 highlighted the growing number of articles on CAPA's website mentioning the word 'strike'. It raised the possibility that if the rate continued through the year, 2016 could be the biggest year for strike-related articles since before the global financial crisis. With a little under a month still to go, this year has already comfortably passed this milestone.
To a large extent labour unrest grows as airline industry profits increase. However, rather than hoping for an industry downturn to reverse the rise in the cycle of strikes, airline CEOs are talking tough – a line long taken by IAG's Willie Walsh. Lufthansa's Carsten Spohr has said that taking on the pilots is "about the future of Lufthansa", noting that it has “no chance of survival" if it gives in to pay demands (Bloomberg, 24-Nov-2016).