By Tony Winterburn • 21 April 2020 • 15:10
A RECENT announcement from Norwegian Air made grim reading for many holidaymakers in the UK who were looking to book flights to Spain later this year. Norwegian Air said that almost 5,000 staff, including pilots, stewardesses and ground crew are amongst people affected by the news as four of its main subsidiaries file for bankruptcy.
“The impact that the coronavirus has had on the aviation industry is unprecedented. We have done everything possible to avoid making this decision as a last resort and have requested access to government support in both Sweden and Denmark,” explained the CEO from Norwegian, Jacob Schram.
Norwegian explains that due to the spread of the coronavirus, the majority of countries have advised against or prohibited non-essential travel. Border closure and quarantine restrictions have brought an abrupt halt to the entire aviation industry affecting all Norwegian flight operations.
The airline said that in Norway, there is an “efficient” contract suspension system (or ERTE), which means that the government bears all wage costs throughout the suspension period.
Companies affected by this announcement are: Norwegian Pilot Services Sweden, Norwegian Pilot Services Denmark, Norwegian Cabin Services Denmark, Norwegian Air Resources Denmark.
Also, due to the extraordinary situation of force majeure, Norwegian has notified OSM Aviation of the cancellation of the crew provision agreements with several of the subsidiaries jointly owned with OSM Aviation.
This could potentially affect flight prices from all over Europe as these companies have crews based in Spain, the United Kingdom, Finland, Sweden, the United Kingdom, Finland, Sweden, and the United States.
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