In 2019, 4.5b passengers took an international flight, according to the CDC. By 2021, that number had dropped by nearly two-thirds to 1.8b as the pandemic wreaked havoc on the travel industry. United Airlines was no exception. The company experienced one of the worst fiscal years in its nearly 100-year history in 2020, with a $1.9b loss in the last three months of that year. Weathering a global health crisis would be challenging for any CEO, but all the more for a newly minted CE like the airline’s Scott Kirby. His saving grace, he says? He was confident that the travel industry would come back in full force despite naysayers. While other airlines were cutting their airplane fleet, United announced in June 2021 the purchase of 270 new Boeing and Airbus jets in preparation for a post-COVID resurgence. With the addition of these planes at the time, the airline expected to create 25,000 new jobs, generate more than $30b in traveler spending, and “contribute an estimated $50b annually towards the U.S. economy by 2026,” according to the company’s press release from this announcement. A pandemic-era CEO, Kirby assumed United Airlines’ corner office in May 2020 after a nearly four-year stint as its president. Though a trying time to take on his first-ever CEO position, Kirby says the pandemic gave him the window to both flex and develop new muscles. “It’s not just about dealing with the issue, but finding the opportunity in adversity because there’s always opportunity,” he says. He also used the experience to implement new leadership strategies around communication, collaboration, and decision-making that are still in operation post-pandemic.<br/>
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Air Canada says it is preparing to wind down operations ahead of an “increasingly likely” strike or lockout as contract talks with its pilots union yield no signs of a deal. The Montreal-based carrier and the Air Line Pilots Association (ALPA), which represents 5,200 pilots at Air Canada and Rouge, have been in negotiations for more than a year. The two sides are in a legal strike or lockout position on Wednesday, Sept. 18, provided they issue 72 hours’ notice. Air Canada said on Monday such a notice will trigger its three-day plan to progressively suspend all flights by Sept. 18, and that the two sides are “far apart” at the bargaining table. Aircraft groundings for some foreign travel and sun destinations will begin as early as Sept. 13, to avoid leaving customers, crew and planes stranded, the airline said. A shutdown would affect more than 110,000 passengers a day on 670 domestic and international flights. The union has said it is seeking wage increases that will bring its members in line with their North American counterparts, better retirement benefits and quality-of-life improvements. Charlene Hudy, the Air Canada pilots’ union leader, said the airline has been making record profits while expecting pilots to accept below-market wages. “Air Canada should stop threatening to disrupt air travel and come to the bargaining table with serious proposals to keep the flagship Canadian carrier competitive in the global aviation market,” Ms. Hudy said in a statement on Monday. The two sides are in talks this week in Toronto.<br/>
As record tourists flock to Japan for its world-renowned hospitality, exceptional sushi and ancient shrines, the country’s airlines are facing a severe shortage of pilots. And finding them won’t be easy. Japan currently has about 7,100 pilots and the government projects another 1,000 will be needed by 2030 to help meet its target of attracting some 60m tourists that same year. In an acknowledgment that may mean looking outside for talent, measures being considered by a panel set up by the transport ministry earlier this year include converting foreign pilots’ licenses to Japanese ones at a faster and cheaper rate. But there are several reasons why hiring pilots from overseas isn’t proving easy. There’s opposition from local unions and carriers in Japan typically pay less than airlines elsewhere. Compounding the shortage, many airline captains, currently aged in their 50s, are set to retire by around 2030, according to the ministry. “Major airlines will have to revise their internal operational processes to accommodate non-Japanese speaking pilots,” said Nobuhito Abe, a partner and the Asia Pacific lead of aerospace and industrials at Kearney. Japanese carriers still have “very domestic internal processes”. On average, captains at Japan Airlines and All Nippon Airways receive annual salaries of around ¥25mil (RM747,450), an industry source said. A pilot with 12 years flying experience at Delta Air Lines in the United States meanwhile can expect to get about US$453,000 (RM1.98mil) while someone flying for American Airlines would be in line for about US$480,000 (RM2.1mil), the source said. An influx of foreign pilots would likely also rankle local staff, inciting fears of inferior treatment or being passed over for promotions. Like many professions in Japan, Japanese pilots often see their job as one for life. Historically, the bulk of pilots coming up through the system in Japan are either hired as fresh recruits by ANA or JAL, or graduate from the government-funded Civil Aviation College, which takes in around 100 students each year. Representatives from All Nippon Airways Crew Association and JAL Flight Crew Union didn’t respond to requests for comment.<br/>