Prime Minister Gaston Browne has called on all stakeholders especially LIAT pilots and their union not to frustrate the
Browne told Pointe FM following an emergency meeting of LIAT shareholders that it is imperative that a Caribbean Development Bank report to restructure the airline is implemented immediately.
“In fact, LIAT cannot survive without the efficacious implementation of this plan and let me make it abundantly clear, there is no if or maybe it has to be done.”
Browne said the plan requires a significant amount of sacrifice from the various stakeholders including management.
Among the recommendations is to reduce the remuneration of management and pilots by about ten percent.
LIAT’s 60 million dollar debt will also need to be addressed under the new plan.
Browne told radio listeners that LIAT will be operating on a minimum revenue guarantee scheme which has to be met by destinations where it flies.
“In other words no more free lunches. So all the countries that have routes which are not viable, LIAT must be given a minimum revenue guarantee payable annually.”
According to the prime minister, all the recommendations must be implemented immediately and simultaneously.
He called on the pilots to “understand that LIAT is not in a position to improve their remuneration package at this time.”
Browne said at the recent meeting all stakeholders agreed to cooperate fully “but I am told the pilots are still making additional demands on LIAT.”
The prime minister told pilots to be careful as at least two of the shareholder governments “are not in the mood for any foolishness.”
“So if they think they can frustrate the issue they do not have any leverage at this point.”
He added “if they wish to ensure LIAT’S survivability and to maintain their jobs, they need to cooperate fully..”
Pilots were told that their severance could be at risk if they won’t cooperate.
“I want to tell you the consequences will be dire, a word to the wise is sufficient.”
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Making threats to pilots will only make the situation worse Mr. PM. Pilot’s are a highly skilled resource in any airline and should be treated with respect.
I’m sure the majority of LIAT pilots do their job responsibly, and are NOT, I say NOT the reason LIAT is in the mess it’s in but you single them out to threaten their jobs. Put yourself in their shoes, how would you like your salary cut.
Mr. PM, pilots are in demand around the world. After Caribbean Star closed down all the pilots were snapped up by offshore entities, the same will happen if LIAT fails.
I’m confident the pilots will find other work, they will have to leave the region but life will go on. Believe me, I’m living proof of that scenario.
Back off the threats, the pilot’s had nothing to do with LIAT’s demise. I can’t say the same for the Politicians that are at the helm.
This man’s ego knows no bounds. If LIAT wasn’t so bad with money management it wouldn’t be in this position.
No more government folks flying free, using it their personal vehicle!
I agree with the Prime Minister that everyone must play their part in helping LIAT as we go forward. That also includes the Governments in the region. A look at LIAT’s fare structure would reveal that a great portion of the fare is made up of taxes and fees that are charged by the various governments. It is hard to tell the pilots to sacrifice when governments charge such high taxes which is payable by travelers whenever they buy tickets. I have said before and I want to reiterate, going forward, we need to do more in order to stimulate inter regional travel. The more people travel, the better it is for LIAT. The taxes that are charged on tickets is a deterrent, huge deterrent, and must be waived as a part of the whole restructuring plan and to stimulate air travel. Countries must be also prepared to waive landing fees for a period of at least 2 years or until LIAT can catch itself. Sacrifice must not only come from LIAT employees, suppliers and others, governments must do their share.
Is GB for real? Pilots are in demand world wide and LIAT needs them a lot more than they need LIAT. Typical mouthing off to hear himself without considering the real world.
What about the managers and board members? What amount are they willing to give up? They first need to lead by example. They need to come forward and declare their contribution to this venture. The governments also need to cut the taxes before just talking about pilots cutting their pay. Pilots have obligations like everyone else and can’t boast about being worth more than 30 million dollars like some politicians.
Folk’s this is not a Political game. LIAT urgently needs to restructure. PM is absolutely correct. Everyone must make significant sacrifice. Pilot’s aren’t exempted.
None of the so called solutions deal with the root of the problem. Is LIAT there to provide the Caribbean with a service or is it there to make money. I think it is the latter. In that case we need to treat it as such. I already heard they will make it an essential service. Fine so each one of the Island just pay-up your share of the essential service. I would argue that the more passengers go to a particular island the more that Island benefits from LIAT. Therefore the greater the contribution from that Island should be.
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