Air Seychelles (HM, Mahé) is to retrench 11 pilots, citing the financial impact of the COVID-19 pandemic, reduced flying, and the continued closure of markets across the airline’s network.
“Based on the expected recovery scenarios, Air Seychelles had to, unfortunately, evaluate its manpower plan within the turboprop and jet fleet pilots’ community,” the airline said in a statement. The state-owned carrier's fleet numbers five DHC-6-400s and two A320-200Ns. In January, Seychellois President Wavel Ramkalawan put forward the possibility of converting Air Seychelles into a domestic carrier which would require the two A320neo to be returned.
“As per the employment legal framework and following meetings plus several consultations held with the affected employees, Air Seychelles will send the list of 11 impacted pilots to the Ministry of Employment and Social Affairs by the end of this week to initiate the formal redundancy process,” it elaborated.
“Given the unprecedented employment environment, the airline is also offering various job opportunities currently available within the organisation to the affected colleagues as an alternative, in addition to keeping their License Proficiency Check over one year with the possibility of renewal based on improvement in business performance,” the airline said.
The announcement comes after Air Seychelles began a voluntary redundancy scheme earlier this year, primarily targeting employees older than 55. Before that, the airline downsized in 2018 when 174 employees, including nearly 100 cabin crew, were retrenched as a part of a restructuring drive resulting from changes within Etihad Airways (EY, Abu Dhabi International), which at the time owned 40% of the company.
Etihad last month sold its stake back to the Seychelles government at a steep discount, but the government still owes Etihad bondholders USD71.5 million.
Secretary of State in the Ministry of Finance, Patrick Payet, previously said the government could not afford to pay more than USD20 million and was negotiating a loan with the Trade Development Bank, the financial arm of the Common Market for Eastern and Southern Africa (COMESA).
