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Irish low-cost airline Ryanair is trying to survive the current crisis by forcing employees of the Vienna base Laudamotion (which is entirely Irish since January 2019) to cut wages. If the roughly 500 employees are not ready to cut wages and new employment contracts, it would shut down Austrian subsidiary Lauda and replace Lauda planes with Ryanair planes, CEO Michael O’Leary said. He wants a solution by May 20. Otherwise, the current short-term job would end on May 31, and a month later the termination protection would end.
“If we close Lauda, she will come back as Ryanair: bigger and more aggressive than ever Lauda,” O’Leary said in the direction of the best aviation company Austrian Airlines. There are currently twelve Lauda Airbus A320s and three Ryanair-operated Boeing 737-800s stationed in Vienna.
Wizz Air flies from Vienna again
Hungarian low-cost airline Wizz Air took off from Vienna for the first time on Friday during the crown crisis. Two connections to Dortmund and Lisbon were finally served. The use of the machines exceeded expectations, the airline said, without giving exact figures. The crew and passengers were “asked to wear masks” throughout the flight. And it was also said: “On flights where occupation allows it, the crew will take into account the space between the seats of the passengers.”
Currently there are only a few scheduled connections at Vienna airport and only in accordance with official requirements. Austro Control air traffic control with 1,100 employees dispatches employees on short notice in early May. This applies to the entire workforce, both in shift work and flexible working hours, as well as for administration.
How Much Does AUA Bankruptcy Cost?
According to a current estimate by Linz economist Friedrich Schneider, a possible bankruptcy of Lufthansa’s subsidiary Austrian Airlines would mean € 335 million less in wages and social security contributions and € 216 million less in sales tax for fiscal authorities. A bankruptcy would reduce the gross domestic product by 1.5 trillion euros, up to 15,000 jobs (of which 7,000 directly) would be lost.
If the AUA no longer takes off, “we will also lose some of the independence that we now need in this crisis,” Schneider said.
