August 28, 2020

United Plans to Cut 21% of its Pilot Workforce

1 Absent a CARES Act 2.0, United Airlines plans to cut 2,850 pilot positions from its workforce, equalling 21% of its pre-pandemic pilot totals.

The job losses would occur between October 1 — the date the CARES Act funding ends — and November 30. United, which has warned that 36,000 jobs are on the line across the company, has not yet provided final furlough numbers for other work groups.

Nearly 1,750 of United’s 13,000 pilots will be furloughed indefinitely Oct. 1, with a chance to return to work if air travel demand returns to anything near pre-pandemic levels.. Another 572 will be furloughed at the end of October and 531 on Nov. 30.

About 450 pilots opted for the early out program, a form of early retirement that allows them to receive reduced pay for a limited time period until they fully retire, according to the union – but that figure wasn’t nearly enough for the airline to avoid mass furloughs.


Alaska Adds Jackson Hole; Allegiant Adds Seven Routes

2 With the pandemic raging on, outdoor destinations are leading the way when it comes to leisure travel demand. Alaska Airlines is continuing the trend, putting Jackson Hole, WY (JAC) on its route map, with seasonal service from San Diego, San Jose and Seattle.

San Diego & Seattle will both see 5x weekly service, with San Jose seeing 2x weekly flights on the seasonal route. Jackson Hole will get Alaska service during ski season, beginning this December and running through April. If you want to go during the summer… too bad. Fly someone else.

Allegiant is adding seven new routes to its route map for seasonal service this winter as well. The airline will be adding:

  • Boise (BOI) and Eugene (EUG) 2x-weekly each to Palm Springs (PSP)
  • Bozeman, MT (BZN) 2x-weekly to Nashville returning after what was a “short hiatus”
  • Chicago/Midway and Houston/Hobby 2x-weekly each to Punta Gorda, FL (PGD)
  • Provo, UT (PVU) 2x-weekly to Denver
  • Santa Maria, CA (SMX) to Phoenix/Mesa (AZA) 2x-weekly
  • Sarasota, FL 2x-weekly to Boston

Norwegian’s Financial Situation is Less than Ideal

3 Norwegian Air is potentially on-track to become insolvent as early as Q1 2021. The airline currently lacks cash to make some of its short-term obligations, and its stock is down 97% for 2020. Norwegian is currently down to about $60 million in cash reserves.

The airline lost $600 million in the first half of 2020, has grounded 140 aircraft, and furloughed 8,000 employees. In Q2, Norwegian only operated 8 domestic routes within Norway. It opened up some international service on July 1 but that hasn’t stopped cash from flying out the door.

During the first six months of 2020, 5.3 million customers flew on the airline, compared to 18.1 million during the same period in 2019. It’s tried to prove that the long-haul, low-cost model can work, but this attempt appears headed toward the same fate as all other efforts before it. Whether any piece of the airline can be salvaged remains to be seen.


Celera 500L is Introduced to the World

4 Otto Aviation has finally introduced its mysterious looking bullet-plane — now known as the Celera 500L — to the world.

Otto boasts that its fancy new plane “is the most fuel-efficient, commercially viable aircraft in existence.” The plane runs at 18 to 25 miles-per-gallon (compared to the 2-3 miles-per-gallon of a comparable jet aircraft or your mom’s old Buick Roadmaster wagon). It can seat six passengers comfortably with an hourly operating cost of $328.

The plane has a range of 4,500 nm at a cruise speed of 460 MPH. The range would allow it to fly between any two cities in the continental United States without needing to refuel.

Its unusual look is unfamiliar to most of the flying public, as the plane does not have windows on the fuselage to allow for better aerodymanics. To allow potential passengers to feel more at-home aboard the aircraft, Otto plans to add uncomfortable middle seats and undersized overhead bins. The standard model comes with a screaming baby in the row behind you, and the deluxe package also includes vegetarian meals for those who eat meat, and a steak sandwich if you identify as vegetarian.


California Man Really, Really Doesn’t Want to Wear a Mask

5 47-year old Mark Hicks of California was arrested Monday when he assaulted Alaska gate agent Jill Simpson Lopotosky as she enforced the airline’s mask policy during boarding of a flight to Sitka, AK (SIT).

Police arrived at the scene shortly after the assault and were shocked to see that the man had a California drivers license, as they fully expected him to be from Florida based on his ridiculous actions.

Hicks was inebriated, when he started to “go through one of the people, a woman, and essentially walked right through her and over the top of her as she fell down onto the ground and tried to continue on through to the jetway” according to a surveillence video.

Hicks was taken into custody and charged with fourth-degree assault. He used his one phone call from jail to call Alaska’s customer service line to make sure he received IDB compensation and original routing credit for his Mileage Plus account since he was involuntary denied boarding by the Seattle police.


Airline Potpourri

  • Air New Zealand is resuming its full domestic schedule from its Auckland hub.
  • Allegiant had an array of CARES Act exemptions ruled on by the DOT. Some were granted. Some were not.
  • Azur Air has requested permission from the DOT to operate 2x-weekly service to Miami from Russia.
  • Emirates is resuming daily service to Bangkok on September 1.
  • Hawaiian‘s saga with American Samoa continued, as the airline was granted another extension to exempt flying to Pago Pago through the end of the CARES Act on September 30.
  • United was granted a suspension of service through September 30 for St. Thomas, USVI (STT).
  • WestJet is resuming transatlantic service from its Calgary hub, with 2x-weekly service to Paris/CDG and 3x-weekly to London/Gatwick.

Andrew’s Moment of Levity

I fell asleep with my contact lenses in last night. I’ve never seen my dreams so clearly.