Air Malta pilots want early retirement at 50

Air Malta pilots are doubling down on their demands with the national airline, requesting a handsome early retirement package for pilots over the age of 50, while being in talks to ward off mass redundancies. 

The Department of Industrial and Employment Relations reportedly consented to Air Malta’s plans to make 108 of some 134 pilots redundant, after pilots union ALPA originally refused a radical pay cut of their take-home pay to just €1,200 a month when the coronavirus pandemic shut down the tourism industry. 

But in a letter to the government, ALPA is now giving notice of legal action against the national airline, accusing Air Malta’s directors of failing to obtain “financial assistance in order to minimise the company’s financial hardship [and] considering alternative measures [for a] less restrictive effect on the workforce.” 

The pilots originally refused to meet Air Malta management, claiming the coronavirus pandemic prevented them from meeting to discuss the €1,200 monthly wage offer. 

Now they want an investigation into the conduct of the affairs and dealings of the board of directors, they stated in their legal letter. 

The ALPA letter comes in the wake of revelations published in MaltaToday that pilots are guaranteed their take-home pay with a government job, even in the case of a downsizing of the airline.  

Despite playing hardball with the airline, pilots were stunned by Air Malta’s decision to proceed with redundancies. 

Pilots have been accused by Air Malta management of deliberately departing late or arriving late on flights, so as to force a rest period that passes on the next flight to other pilots. 

One government source claims the “racket” allows pilots to claim maximum rest periods by spreading the workload across the entire pilot roster. “They do not fly as much as their European counterparts and the union is not even able to make its members respect flying hours,” the source said. 

In talks between ALPA and Air Malta, pilots have also demanded a permanent health insurance scheme and an early retirement scheme for pilots aged over 50. Pilots already have an early retirement scheme for those over 55 with 25 years’ service, which pays them two-thirds of their basic salary, plus 0.1% of basic salary per month until reaching retirement age. 

At an average €80,000 salary, that would guarantee them a salary of €53,000 until retirement. 

According to the collective agreement, newly appointed junior first officers are paid €24,000 while first officers start at €34,000 and captains’ take-home pay starts at €66,000 and can reach €109,000. These exclude the payments they receive for hours spent flying, as well as denied days of duty: this is a payment to the entire crew staff when Air Malta denies days off, paid at the rate of their basic salary multiplied by 0.004: which could be as much as €200 for each day denied.  

Pilots demands in legal letter 

In their letter to the government, ALPA now is demanding evidence of Air Malta’s claims that the €1,200 monthly salary it offered to pilots could safeguard the jobs of all employees – as originally intended by the airline when the pilots union refused to meet with management. 

While Air Malta had publicly declared that ALPA was refusing to entertain its offer because its committee and members could not meet due to the coronavirus, the union now is demanding a meeting to “conduct meaningful and effective consultation” with company directors. 

The pilots are also requesting that Air Malta declares whether it will apply for any COVID-19 wage supplements from Malta Enterprise, to subsidise wages; whether it will apply any state aid under recently relaxed rules from the European Commission; and also details of Air Malta’s business plan for its future prospects post-COVID.