BASSETERRE, St. Kitts - THE continued slowdown in travel across the region is having a major impact on Trinidad and Tobago-base Caribbean Airlines (CAL) as unaudited financial statements showed the company record millions in third quarter losses.
In a media statement, CAL said that based on its unaudited statement, TT$326.6 million or US$48 million for the first half of the year which ended on June 30, reflected the depressed market conditions for air travel.
There is a high of skepticism in the region for travel since the Coronavirus remains a real threat, despite many borders slowly reopening.
“Total revenue generated for the six months ended June 2021 was TT$264.9m (US$39m), a decline of 54% or TT$306m (US$45.7m) over 2020 due to a 44.8% drop in passenger numbers as a result of the pandemic. The Government of Trinidad and Tobago provided financial support to assist the airline with expenditure commitments,” the airline revealed.
According to the airline, in order to cushion the impact of the dramatic decrease in passenger traffic and consequent revenue collapse, it offered cargo charters using its passenger planes and operated repatriation and other special services on request from regional Governments.
The airline also took the proactive decision to adjust its planned strategy in response to managing the impact of the pandemic.
The airline introduced a number of measures to ensure sustainability, including proposed reduction in its staff load.
But before the staff could be let go, the airline held discussions with a number of stakeholders, including the various regional unions.
At the end of the discussions, less staff will be released than proposed under the restructuring process.
“The process was constructive and as a result the number of employees to be separated is now 280, significantly fewer than previously estimated,” the airline said in a recent press statement.
It explained that a further 99 staff members would be temporarily laid off for an extended period.
