Estonian flag carrier works on radical downsizing
In his new job as CEO of Estonian Air, former Cimber Sterling boss Jan Palmér is cutting unprofitable routes – and now also cutting the number of employees. The Estonian flag carrier will cut its workforce by 146 people from the current figure of 318 employees, due to the need to adjust operations in accordance with reduced flight capacity. The redundancy plan currently applies to the administrative and flight operations divisions.
“Noticeable cutbacks in the flight volumes unfortunately lead to operating with a smaller number of employees,” Palmér explained. “The structure of the company will be based on operating five aircraft and serving nine to ten core destinations.”
Estonian Air is working closely with the country’s Civil Aviation Authority during the whole downsizing process. “During such a large scale downsizing effort, we will consult the ECAA in every aspect of the restructuring to ensure the maximum level flight safety, which is the cornerstone in aviation,” Palmér said. “The model of operation for Estonian Air is based on core route network for Estonia, where there is a solid fundamental demand.”
After cutting its flight capacity, Estonian Air will operate to ten destinations: Stockholm, Copenhagen, Amsterdam, Brussels, Oslo, Moscow, St Petersburg, Kiev, Vilnius and Trondheim.