(CMC) – The court-appointed administrator for the cash-strapped regional airline, LIAT, Cleveland Seaforth, says the airline will wind up its operations in its current form on January 24 this year.
In a letter to staff outlining the latest position regarding the Antigua-based LIAT (1974) Limited on Thursday, Seaforth wrote “after careful consideration and evaluation of the present operations, a decision has been taken by the court-appointed administrator to permanently cease all commercial flying operations as of close of business on January 24, 2024.
“As a result of the foregoing, you are hereby notified that your employment with LIAT (1974) Limited (in administration) will be made redundant effective February 4, 2024.”
The move is expected to result in more than 90 employees being made redundant without any payment and a promise that obligations will be met.
The airline is owned by the governments of Antigua and Barbuda, Barbados, Dominica and St Vincent and the Grenadines.
During the presentation of his country’s national budget last month, Antigua and Barbuda Prime Minister Gaston Browne said his government had embraced the responsibility to restructure and resurrect LIAT, “with a vision of returning the airline to the regional skies”.
Browne said the airline, which has been under administration since July 24, 2020, “has long been an essential thread in the fabric of Caribbean connectivity”.
LIAT, prior to entering into administration had been servicing several regional destinations and has since scaled down its operations and is now servicing Anguilla, Antigua, Barbados, Dominica, Guyana, Grenada, Guadeloupe, Martinique, San Juan Puerto Rico, St Kitts, St Lucia and St Maarten.
“In 2023, despite hurdles, including unserviceable aircraft, unresolved issues for former workers, financial constraints, staff attrition, and disruptions caused by the hurricane season, LIAT 1974 Limited operated a limited schedule, ensuring vital connectivity across destinations with 167 dedicated staff,” Browne said of the airline.
Browne said that the Barbados-based Caribbean Development Bank (CDB) will play a critical role in solidifying the arrangement among the governments, adding that this will set the stage for finalising the arrangement with Air Peace, a private Nigerian airline founded in 2013, “so that LIAT 2020 can begin operations, thereby securing a promising future for regional travel”.
Browne said that in 2024, the Antigua and Barbuda government will spend an estimated EC$30 million to “ensure LIAT 2020 Ltd has all the aircraft needed and appropriate maintenance and operational arrangements are in place for the safe, reliable, and efficient delivery of service to the people of the region”.
“In the spirit of optimism and faith in our ability to rise above challenges, we draw inspiration from the words, ‘the glory of the latter house shall be greater than the former’,” Browne told legislators, adding that “just as our nation has overcome adversities in the past, so too shall LIAT 2020 emerge stronger, more efficient, sustainable, and better positioned to serve the needs of our people and our Caribbean neighbours”.
In his letter Seaforth told the staff the company was not in a position to make any severance payments at this stage, but indicated that it would not be shying away from its obligations to them on severance, vacation pay, retroactive pay and any outstanding salaries.
“The company recognises its obligation as it relates to any of the [aforementioned] applicable entitlements, which will be provided to you under separate cover within 45 days of this letter after the respective computations have been completed,” Seaforth said.
“The payment of any indebtedness to you cannot be made at this time. However, every effort will be made by the administrator to secure the best outcome in respect of the indebtedness to all employees in accordance with the company’s legal and contractual requirements,” Seaforth wrote. He thanked the workers for their “valuable contribution” to LIAT (1974) Limited which resumed flying operations on November 1, 2020.
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Here goes again. How are companies allowed to flaunt the labour laws and get away with it so often. When staff are made redundant, companies must be ready and prepared to pay the staff their redundancy payment in full on their last say if work. If according to the notice their last working day is February 4th, why do they have to wait for another 45 days when their redundancy payment would he communicated to them in a separate cover? Papa VC must be rolling in his grave to see the scant regard companies have for their workers in what should be a labour friendly working environment. If we do not put a stop to this, then it might soon become the acceptable norm.
Here goes again. How are companies allowed to flaunt the labour laws and get away with it so often. When staff are made redundant, companies must be ready and prepared to pay the staff their redundancy payment in full on their last day of work. If according to the notice their last working day is February 4th, why do they have to wait for another 45 days when their redundancy payment would (or might) be communicated to them in a separate cover? Papa VC Bird must be rolling in his grave to see the scant disregard companies have for their workers in what should be a labour friendly working environment. If we do not put a stop to this, then it might soon become the acceptable norm.
He didn’t vote himself in office….
Cunts…so you leave us who booked after 25 jan stranded?
It’s nothing new, but every rope has a end
Ladies and gentlemen, another chapter in the failed experiment called Gaston Browne. Imagine workers with decades vested in LIAT, who by law are due their full severance being robbed of what’s legally theirs. It was Gaston Browne’s rude, arrogant attitude that prompted the other shareholders to tell him and his fantasies of LIAT 2020 where to stick it
The man is like a plague upon this country, willing to play with known corrupt, unscrupulous characters, if it means fattening his greedy pocket.
Don’t forget, an illegal flight flew here bringing hundreds of Africans who had zero interest in Antigua, facilitating human trafficking. Now he is getting ready for a repeat performance?
This clown must be removed from office before he destroys our country.
The only failed experiment here is caribbean unity.This time we will do it without them and LIAT 2020 will be a success.
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So, when will LIAT 2020 be starting up?
@2020
I jus wan kno when i gettin bac my 20×20 dollars from LIAT that mi pay fu me ticket
If they declare some odder kinda bankruptcy I may neva get it bac, but ah garn mek sure mi haunt dem and any assets
Gaston Browne will go down hard in disgrace
If those people who know how to run airlines were left to do so (as mentioned in previous ANR articles) without government interference or unqualified politicians, then Liat may have survived.
Here’s hoping that the former employees receive the compensation/redundancy packages they deserve.
POLITICAL CHAT DOESN’T PUT FOOD ON THE TABLE.
Over to you Prime Minister Browne … 🫱🏾
167 ‘dedicated’ staff, whose ‘valuable contribution’ delivered really well for regional commuters, under very difficult circumstances are now being shafted by the Govt.
Where are the unions?
Is this not another prime case from Antigua for the ILO?
What of workers RIGHTS?
However, the Cabinets mantra delivered on their behalf by Hurst, of ‘dont worry, everyone had a very happy and joyful Christmas knowing civil servants will receive their 9% pay increase from 1-1-24’ is tone-deaf and utterly alienating to private and private-public partnership employees.
Every employee needs to be deeply concerned that international labor practices are ignored by this Govt seemingly at every turn.
To the good souls at Liat who’ve delivered well on the limited reliable schedule of past few years, thank you.
I know thanks will not pay your bills, or compensate for your life being turned upside-down in a govt. heartbeat, I really hope your can combine and as a united voice seek international representation for retribution and receipt of what is legally yours BEFORE 4 February.
If UPP was competent then it wouldn’t be a problem but really, they’re not. We can’t replace bad for worst. Sad times ahead for us
Explain why you think that the UPP isn’t up to running the country @ John Wick, instead of throwing out needless soundbites that don’t mean a red kidney bean.
Here’s a great tip – if you find time -, go over anything that I’ve written in the past, and you’ll find that I give reasons for what I’ve said (whether you agree or not).
DON’T BE LAZY IN YOUR COMMUNICATIONS JOHN…
If Gatson Browne is the guy y’all waiting for to take Antigua out of this mess, well I guess we will be waiting for eternity 😄.
Isn’t this the Guy that got us here in the first place, with these bad deals and terrible loans?
And now y’all think this pie in the ski promises to rescue Liat with another terrible deal with Air Peace is going to work?
Keep on dreaming with this the “worst” financial officer Antigua ever had in its history!!!
Our best chance as a country is to hope this man does not cripple Antigua before he leaves office, and get his arse out ASAP.
And I say this with all honesty and sincerity and love for my country.
Why is it that when an issue is on the table, highlighting ALP’S failure, led by the biggest failure of all, do we hear mention of UPP? UPP has been out of office for 10 years. Come on Gastonites and Labourites, cut the deflections and blames. @John Wick, I guess you’re still out to lunch. Today, ordinary Antiguans and Barbudans ( including the Labourites and Gastonites ) would be in dire straights had not UPP put things in place. This you call incompetence? Tell us what this band of clowns have done that will benefit us across the board?
If we don’t end this reign of failures and self -enrichment we are in serious trouble.
Tell dem boss, those Gastonites and ABLP acolytes couldn’t string two words together if they tried 🤣🤣🤣
Always supporting 40-odd years of ABLP inactivity come what may … they would sell dem granny 👵🏾
Ok! The Courts have ruled on LIAT 1974 Ltd. E Dead! E done! Well, at least to some degree. Now, here comes the other legal battles(unions, creditors, and the rest of the sharks smelling blood).
The former workers, and those who’ll be released by February, what a #quandry!
Now, to the #Phoenix_🕊️_Of_LIAT 1974, rising from the Ashes, as LIAT2020, or LIAT♾️(LIAT_INFINITY), and let’s be optimistic. Let’s say, that the alleged investors in LIAT 2020, who’ll own 60, 70 or whatever percentage, as majority shareholders, and yes, they re honest Africans from Nigeria!
Sarcasm…
Hey, KATT WILLIAMS, are they pulling a #Steve_Harvey on Us?
KATT Williams…yo dread, I know, that you’re no #de_head following, the Grateful_Dead ☠️💀; but, NIGERIANS! Heck🍷🍷🍷(katt’s taking a sip), ahhhhhh😎trust Nigerians, I’m calling my good friend the Grand Wizard of the KKK – Donald ‘da Teflon Don’ Von Troomp(Trump) and tell him, I want to use his coke supplier and cooker). Then I’ll think about trusting Nigerians!
So, let’s say LIAT 2020 is revived with AIR PEACE as its parent company! Can Antiguans & Barbudans expect to be…
A…first in line for the first 500(FIVE HUNDRED) Employees in say the Maintenance, Baggage Handling, Check in etc, on the ground in Antigua & Barbuda? No foreigners! PERIOD!
B…Will Middle and Upper Management, of this new entity, LIAT2020, be again ANTIGUANS & BARBUDANS?
There is no PREJUDICE in…
(i)…#CHARITY begins at home!
(ii)…#self_love is healthy love, godly, enriching and enlightening!
Mr PM, Gaston Browne, can you make this happen? The graduates from UWI_FI will be in need of opportunities, to expand and explore, their horizons!
Heck, I’m hoping that, LIAT2020 can become the ETHIOPIAN AIRLINES, of the Caribbean!
Jumbee_Picknee aka Ras Smood
De’ole Dutty Peg🦶🏿Garrat Bastard
Vere C. Edwards
Ah @Ras Smood, you make me chuckle at your sarcasm and masterful play on words. I have been saying for a minute, Antiguans first. Too many of our top positions are occupied by others, something we Antiguans could never get away with in ANY Caribbean Island.
We pump hundreds of students out of high school annually and their options are limited. Time to make room for our graduates, indeed.
Enjoy your posts Bro. Let’s fight for our Antigua and Barbuda.
@Watching…thank you! It’s a pleasure! Words to me, are like the colors on a painters pallete, and the thought process is the brush which paints scenes, on Nature’s Ether(canvas).
Regardless, of what politicians do, they cannot take the ESSENCE of NATURE’S Ether embedded in my SOUL, like the concentric circles, reverberating from the first drop of blood, at my moment of conception.
Give thanks!
Jumbee_Picknee aka Ras Smood
De’ole Dutty Peg🦶🏿Garrat_Bastard
Vere C. Edwards
In my humble opinion, and many others, LIAT has crippled the Caribbean. We don’t want it back. We don’t want no LIAT 2020! Open up the aviation industry to other airlines capable of running an airline. There are certain businesses that government should stay out of! Once government is in this industry, they would always tweak the regulations to benefit them and give the other airlines a hard time. Stay out! Go concentrate on fixing the bad roads, giving people regular running water, fixing education system, and the list goes on!
How many countries around the world own airlines? I will say they cover the short falls to keep the airlines flying.
Now I am sure I heard Gaston say that the government of Antigua will be borrowing thousands of dollars to acquire planes. If Air Peace or who ever is going to own 70% of liat 2020, why are they not putting up 70% of the costs of the planes? Question is, who is going to own any 70%. Wait and see if you see.
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