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Iberia ponders low-cost launch, using retired captains
Aimee Turner, London (06Oct04, 15:42 GMT, 429 words)
Spanish national carrier Iberia is holding talks with the powerful pilots union Sepla over the creation of its own domestic low-cost carrier using a combination of retired Iberia pilots and new recruits for first officers.
The new company, said to be called Iberia Express, is being studied as a way to help tackle the growing threat of low-cost operators which have attacked Iberia on domestic routes.
Talks have been cloaked in secrecy but Sepla president Andoni Nieto recently confirmed that talks on the issue were being held between Iberia and the Sepla-Iberia section of the pilots’ union.
A union spokesman confirms Sepla-Iberia is currently negotiating with Iberia on its next collective labour agreement. “The creation of a new low-cost company within Iberia is one of the issues of the negotiations although, at this moment it is only a possibility,” he says, adding that should any agreement be struck at this stage, it would have to be approved by Sepla's executive.
Iberia pilots are however reported to be divided over the establishment of a low cost operator within the airline.
The proposal as ATI understands it will include a specially designated fleet made up of Airbus A319, A320 and A321 aircraft, already in use by Iberia on short and medium range routes.
The Iberia Express fleet would be flown by retired Iberia captains – the Iberia retirement age is 60, even though current regulations allows pilots to fly up to 65 – and first officers will be recruited from outside Iberia, thus substantially reducing the cost of cockpit crews. The proposal also envisages pilot training and ground services being shared with Iberia to reduce operational costs.
Some industry observers say the creation of Iberia Express will come as a severe blow for Air Nostrum, which has operated this type of flights for Iberia since 1997 as a regional partner.
A spokesman for the Valencia-based regional airline plays down the potential threat. “We are not worried about that, because that kind of aircraft - if the information is true - will not operate on our routes.
“We operate on routes of low- and medium-density, routes which are suitable for smaller planes whereas an Airbus A319 has 126 seats, an A320 has 150 seats and an Airbus 321 has 186 seats,” he says, pointing out that Iberia pulled its services on some of Air Nostrum routes several years ago because they could not be operated profitably using the Iberia fleet.
An Iberia spokeswoman declined to confirm that Iberia Express was being planned or that the airline was in current negotiations with its pilot union.
Source: Air Transport Intelligence news
Aimee Turner, London (06Oct04, 15:42 GMT, 429 words)
Spanish national carrier Iberia is holding talks with the powerful pilots union Sepla over the creation of its own domestic low-cost carrier using a combination of retired Iberia pilots and new recruits for first officers.
The new company, said to be called Iberia Express, is being studied as a way to help tackle the growing threat of low-cost operators which have attacked Iberia on domestic routes.
Talks have been cloaked in secrecy but Sepla president Andoni Nieto recently confirmed that talks on the issue were being held between Iberia and the Sepla-Iberia section of the pilots’ union.
A union spokesman confirms Sepla-Iberia is currently negotiating with Iberia on its next collective labour agreement. “The creation of a new low-cost company within Iberia is one of the issues of the negotiations although, at this moment it is only a possibility,” he says, adding that should any agreement be struck at this stage, it would have to be approved by Sepla's executive.
Iberia pilots are however reported to be divided over the establishment of a low cost operator within the airline.
The proposal as ATI understands it will include a specially designated fleet made up of Airbus A319, A320 and A321 aircraft, already in use by Iberia on short and medium range routes.
The Iberia Express fleet would be flown by retired Iberia captains – the Iberia retirement age is 60, even though current regulations allows pilots to fly up to 65 – and first officers will be recruited from outside Iberia, thus substantially reducing the cost of cockpit crews. The proposal also envisages pilot training and ground services being shared with Iberia to reduce operational costs.
Some industry observers say the creation of Iberia Express will come as a severe blow for Air Nostrum, which has operated this type of flights for Iberia since 1997 as a regional partner.
A spokesman for the Valencia-based regional airline plays down the potential threat. “We are not worried about that, because that kind of aircraft - if the information is true - will not operate on our routes.
“We operate on routes of low- and medium-density, routes which are suitable for smaller planes whereas an Airbus A319 has 126 seats, an A320 has 150 seats and an Airbus 321 has 186 seats,” he says, pointing out that Iberia pulled its services on some of Air Nostrum routes several years ago because they could not be operated profitably using the Iberia fleet.
An Iberia spokeswoman declined to confirm that Iberia Express was being planned or that the airline was in current negotiations with its pilot union.
Source: Air Transport Intelligence news
