Lockdowns halt Europe’s air-travel recovery, threaten jobs

The demise of Europe’s air-travel rebound and a fresh warning on jobs from Airbus are adding to evidence that the region’s aviation industry is in for a tough winter. A rise in European air traffic that built up over July and August has abruptly shifted into reverse, the body that oversees the region’s skies said on Monday. The head of Airbus said separately that voluntary staff departures probably won’t be enough to cope with the deepening crisis. The tally of flights this year will be about 6m, or 55% below 2019’s level, Brussels-based Eurocontrol said Monday. That represents a 1m-trip reduction from its April forecast. Airbus CEO Guillaume Faury said mandatory job cuts are now on the cards as the company hunkers down for a “deep and long downturn.” A hoped-for surge in late summer traffic failed to materialize for European airlines, as the coronavirus pandemic continues to flare and countries apply a hotchpotch of restrictions on travel. Eurocontrol says that after recovering to about half of the usual schedule in August, the proportion of flights operated will be down 60% by January, versus its prior estimate for a 20% shortfall. “We’re going backwards now and it’s really worrying for the entire industry,” Eurocontrol DG Eamonn Brennan said, blaming a lack of coordination between countries over the resumption of flights for sowing confusion and putting people off booking. Eurocontrol said harmonized virus testing and common assessment criteria would provide more predictability and boost demand, while continuing blanket restrictions and quarantine measures could see a further deterioration. Airbus CEO Faury delivered his grim assessment of future demand in a letter sent to staff Friday. “The recovery in airline traffic over the summer period has not been at the level the industry was counting on,” he said, adding that it’s unlikely voluntary job cuts “will be enough” to deliver required savings. Story has more.<br/>
Bloomberg
https://www.bloomberg.com/news/articles/2020-09-14/european-flights-waning-as-rebound-reverses-eurocontrol-says
9/14/20