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Kenya Airways Plc canceled about 75% of scheduled flights Monday as a pilots strike enters its third day, disrupting travel plans for thousands of passengers and hurting intra-Africa trade.
The carrier scrapped 52 flights, according to a statement. The company has had to accommodate 500 passengers in hotels in Nairobi, Chief Executive Officer Allan Kilavuka said.
A prolonged strike may also hit Kenya’s exports. Sub-Saharan Africa’s second-largest airline transports 150 tons of fresh produce on average — including flowers, which are among Kenya’s top exports — to Europe and the Middle East. It also ships 20 tons of vital pharmaceutical products into East Africa’s top economy.
The Kenya Airline Pilots Association (Kalpa) issued a 14-day strike notice on October 19. The group is pursuing better working conditions, including lifting a suspension of payments to the staff provident fund. Kenya Airways, which is 48.9% state-owned, normally transports more than 250,000 passengers a month and an average of 60 to 70 flights daily.
If the pilots’ strike continues, the unprofitable carrier that is 48.9% state-owned will be unable to meet salary demands this month, Kilavuka said during a briefing in the Kenyan capital, Nairobi. Kenya Airways has begun a disciplinary process against the pilots on strike that may include termination of duties after a fair hearing, he said.
Kalpa said it’s ready to call off the industrial action once management agrees to resolve the issues raised by pilots. The union called the strike last month seeking better working conditions, including lifting a suspension of payments to the staff provident fund.
In the last three years Kenya’s government has injected more than 60 billion shillings ($494 million) to keep the airline afloat.
—Bloomberg