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The employees have until Nov. 4 to sign new contracts but they will receive one year of transitional benefits like housing allowances for pilots rather than the two years offered for those that signed up by Wednesday evening.
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Covid-19: Most Cathay Pacific pilots and cabin crew accept permanent pay cuts

Hong Kong’s Cathay Pacific Airways Ltd mentioned on Thursday {that a} majority of pilots and flight attendants had signed new contracts that can end in everlasting pay cuts.

Cathay final week introduced plans to chop 5,900 jobs to assist it climate the pandemic, together with almost all the positions at its regional airline Cathay Dragon, which it has shut down.

It can be in search of adjustments to contracts with pilots and cabin crew as a part of a restructuring that may price HK$2.2 billion ($284 million).

“We are very grateful that a majority of our pilots and cabin crew have already signed up to the new conditions of service,” the airline mentioned in an announcement.

“We would like each and every one of our pilots and cabin crew to join us and be part of Cathay Pacific’s future.”

The workers have till Nov. four to signal new contracts however they’ll obtain one 12 months of transitional advantages like housing allowances for pilots moderately than the 2 years supplied for those who signed up by Wednesday night.

The airline has informed them if they don’t comply with the brand new contracts by subsequent week, they face termination, in accordance with unions representing pilots and flight attendants.

The pilot contracts, that are broadly in step with these given to new hires since 2018, will end in everlasting wage reductions of as much as 58%, the Hong Kong Aircrew Officers Association (HKAOA) mentioned on Tuesday.

HKAOA General Secretary Chris Beebe final week informed Reuters the choice to pressure pilots on to lower-paid contracts was “draconian” and “short-sighted”.

Staff at many airways all over the world together with rival Singapore Airlines Ltd have agreed to short-term pay cuts to assist their firms get via the Covid-19 disaster, however the Cathay discount is everlasting.

Cathay Chairman Patrick Healy informed reporters final week that the phrases of the brand new contracts had been “highly competitive” with these of world friends.

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