Published on Wednesday, May 3, 2017

Question mark over Alitalia's future as it enters bankruptcy process

Alitalia is to enter bankruptcy proceedings after its employees rejected a plan to restructure the troubled Italian airline.

The carrier said its flights would continue to operate as normal while administrators try to come up with a financial rescue package.

Its employees have already voted against a plan to cut jobs and salaries, which would have allowed Alitalia to secure new funds.

Alitalia said in a statement that Italian shareholders and Etihad, which owns 49% of the airline, had been 'committed to recapitalise and finance the plan with €2 billion euros', but that without the approval of workers, it could not go ahead.

The Italian government has given Alitalia €6 billion over 10 years and it has given the airline a €400 million bridging loan to allow it to keep operating during the bankruptcy process, but it has ruled out re-nationalising or providing further funds.

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  • Do staff still want a job ?

    I cannot understand the employees attitude as surely most will lose their jobs if Alitalia closes. I would have thought the employees would have done all in their power to save the airline and thereby their jobs. Employees can only be employees if the airline makes enough money to be financial and employ them. If the airline is not making money then where is the money coming from to pay their wages? If staff do not like the employment conditions then get a job elsewhere and let the airline try and recover.

    By Ken COULTER, Wednesday, May 3, 2017

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