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  1. #1
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    [EN] Unfriendly skies: disdain for customers as a strategy for growth



    Peter Thal Larsen
    September 29, 2017

    Ryanair is living down to its cheapskate reputation. The budget airline is facing irate passengers and an angry regulator after cancelling more than 20,000 flights over the coming seven months. This combination could be an existential threat for most companies. For the Irish carrier, however, indifference to customers is an integral part of its discount offering.

    For an airline that expects to carry 129 million passengers this year, the cancellations are little more than short-term turbulence. Grounding flights in September and October will affect 315,000 customers, while schedule changes between November and March will force a further 400,000 to make alternative plans. Ryanair thinks rebooking flights, paying compensation and giving affected passengers a voucher worth 40 euros will cost it less than 50 million euros altogether. That’s an air pocket for a carrier that expects to earn at least 1.4 billion euros in the year to March.

    True, the financial pain could spread. Britain’s Civil Aviation Authority has launched enforcement action against Ryanair for misleading passengers; the watchdog’s chief executive say he is “furious”. The regulator could impose fines if the company does not change course, and offering affected passengers more might increase the total bill. Meanwhile, the bad publicity has drowned out the stated goal of the cancellations – to improve Ryanair’s punctuality record. The airline’s shares have fallen 7 percent in the past fortnight, wiping out roughly 1.4 billion euros of value. The MSCI Europe Airlines index is flat over the same period.

    The cock-up in pilot scheduling that Ryanair says triggered the cancellations doesn’t so far look like a deeper problem. That leaves the risk to the brand. In order for a company to suffer tangible damage to its image, however, it must have a reputation to lose. The airline industry in general gets away with treating customers poorly: United Continental experienced little visible financial trouble after airport police dragged a passenger off one of its planes in April.

    For the airline run by Michael O’Leary, disdain for customers is part of a corporate strategy designed to deliver the lowest fares. As long as holidaymakers prioritise cheap prices over service, Ryanair’s planes will remain full.

    https://www.reuters.com/article/us-r...-idUSKCN1C41K9
    Última edição por 5ms; 29-09-2017 às 11:46.

  2. #2
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    Smile A China faz também. A China faz pior.


    In May we have all the data. In June, no more Chinese airports appear in flightstats database.


    China can't get planes to run on time. Instead of fixing delays, airports stop feeding on-time data to Flightstats


    Pete Sweeney
    29 September 2017

    As millions of Chinese people set forth to travel during the “Golden Week” holiday starting Sunday, many could spend more time in the departure lounge than on the beach. Their airports are the world’s most delayed, but instead of reforming airspace, Beijing prefers fiddling data.

    ...

    https://www.breakingviews.com/consid...o-run-on-time/

  3. #3
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    For years the fast growing European budget airline seemed to take pride in how badly it treated its customers and staff

    Brooke Masters
    2017-09-29

    Over the years, its irascible chief executive Michael O’Leary has referred to passengers as “morons”, insisting that “we don’t want to hear your sob stories”. The Irish carrier is famous for layering on fees for everything from talking to a human being to carrying on bags. Mr O’Leary even publicly mused about charging for use of the toilet.

    On the staff side, he has boasted about how little he pays pilots. Analysts say Ryanair uses thinner staffing levels than rivals, and it has lower ratings on employee satisfaction website Glassdoor.

    And yet the carrier keeps growing — from 650,000 passengers a year in 1991 to a projected 130m this year. Customers have been willing to put up with the hassle and disdain in exchange for dirt cheap flights. Ryanair in May predicted full-year profits would top €1.4bn.

    Ryanair has had to cancel thousands of flights affecting more than 700,000 passengers as it struggles to cope with a staffing shortage. The airline blames a regulatory change in the rules around pilot holidays for its decision to cancel 50 flights a day for six weeks and then suspend 34 routes, grounding 25 of its 400 planes to the end of April.

    Investor reaction so far has been relatively sanguine — the airline’s shares are down 16 per cent from their August all-time peak, but are still up 30 per cent over the past 12 months. Mr O’Leary comfortably won re-election to the board with 99 per cent of votes cast last week.

    Ryanair has said the cancellations will cost less than €50m all together but its management and investors may well be missing three critical points.

    Authorities in key hubs are taking notice. The UK Civil Aviation Authority has accused the carrier of misleading cancelled passengers about their rights, and Italy has launched an inquiry into alleged violations of consumer rights. If Ryanair is forced to do more on consumer care, that could drive costs.

    The carrier’s years of squeezing its staff have done little to build loyalty. Its pilots have already turned down an offer that would have given them a bonus in exchange for waiving a week of holiday time and agreeing to stay on for a year. Other carriers including Norwegian are growing and recruiting actively. Watch out for employee turnover to hit performance and, again, costs.

    Most importantly, the cancellations threaten a crucial but often overlooked part of Ryanair’s appeal: it may be rude but it used to be reliable. Its planes play a recorded trumpet every time they arrive on time, and its performance was comparable with more expensive rivals. Some 83 per cent of flights were on time in July. But pilot rota troubles pushed that below 80 per cent in early August, and the confusing way the first cancellations were announced initially left 18m people wondering if their flights would be grounded. The second round further undermined passenger trust. Consumer group Which? complained the carrier had “effectively cancelled Christmas”.

    Airline customers will forgive many things — even at United, which beat and forcibly removed a passenger from a plane in April. But they do want to get where they are going. Who would do a deal with the devil if his planes cannot be counted on to fly?

    https://www.ft.com/content/916de1e8-...f-7f5e6a7c98a2

  4. #4
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    UK regulator accuses Ryanair of misleading passengers after cancelling flights

    Peggy Hollinger, Tanya Powley, Adam Samson and James Politi
    September 27, 2017

    Britain’s aviation authority has accused Ryanair of persistently misleading passengers on their rights after cancelling thousands of flights over the past week.

    The Civil Aviation Authority said on Wednesday it was expediting enforcement action against the low-cost carrier, the first step towards court action if breaches of consumer protection law persist.

    In a letter to Ryanair, the CAA said Michael O’Leary, chief executive, had wrongly claimed that the carrier was not obliged to find seats on alternative airlines for passengers on cancelled flights. Despite a request last week to correct that inaccurate statement publicly, Ryanair had so far not complied, the CAA said.

    Ryanair responded: “We are in correspondence with the CAA and have addressed their concerns.”

    The action comes as the Irish carrier axed flights for a further 400,000 passengers travelling between November and March, less than two weeks after it cancelled up to 2,100 flights affecting about 315,000 flyers.

    The CAA said information on the group’s website following the latest cancellations appeared to correct Mr O’Leary’s misleading statement. Moreover, the regulator said, the carrier had failed to include information on the obligation to refund expenses incurred as a result of flight disruption.

    Andrew Haines, the CAA’s chief executive, said: “There are clear laws in place, which are intended to assist passengers in the event of a cancellation.

    “We have made this crystal clear to Ryanair, who are well aware of their legal obligations, which includes how and when they should reroute passengers, along with the level of information it provides its passengers. The information Ryanair published today again fails to makes this clear.”

    Since the cancellations, Ryanair has faced a backlash in many countries. In Italy, which is a big hub for the low-cost airline, authorities launched an inquiry last week into alleged violations of consumer rights. Government ministers criticised its handling of the affair, with Carlo Calenda, the economic development minister, and Graziano Delrio, the transport minister, calling for “zero tolerance” with regard to the Irish airline.

    “What happened with Ryanair is very serious because the disservice to citizens was substantial,” Mr Calenda said.

    Separately, Ryanair on Wednesday pulled out of bidding for rival Alitalia, saying it must “eliminate all management distractions” to repair its rostering problem. It is a big U-turn for the budget carrier, which confirmed plans last week to make a binding offer for Alitalia. The deadline for bids for the Italian airline is October 16.

    One person close to the situation said that it was unlikely that the government would have told Ryanair not to bid for Alitalia; rather, they could not have managed a bid for the Italian airline at the same time as they were handling so much disruption for travellers.

    Mr O’Leary continues to grapple with Ryanair’s pilot shortage. Last week, the airline blamed its roster mess up on a regulatory change that forces airlines to count crew flying hours over a calendar year, instead of its fiscal year from April to March, which left the airline with too few standby pilots on its roster. At the time, Mr O’Leary insisted Ryanair would not have to make any further cancellations.

    But the airline on Wednesday rowed back on threats to take back a week’s holiday from pilots, which was part of its initial plans to solve its current crisis.

    Ryanair said the fresh flight cancellations will mean it “will not need pilots to give up one week of their well-earned annual leave from Nov onwards”. It also denied it had a pilot shortage, stating that in the current year under 100 captains have left and less than 160 first officers. The airline said it has recruited and will train more than 650 pilots over the next eight months.

    The Dublin-based carrier will fly 25 fewer aircraft out of its 400-plane fleet in mid-November to March, and then 10 fewer from April 2018.

    The changes announced on Wednesday are expected to reduce full-year traffic to 129m from 131m, representing a 7.5 per cent rise on last year, the airline said. It reiterated that costs related to the cancellations announced last week would be less than €25m and estimated a similar amount for the latest changes. It also reiterated that it did not expect these charges to alter its profit guidance for the current year of between €1.4bn to €1.45bn.

    Ryanair hoped the reductions to its flight schedule would “eliminate all risk of further flight cancellations, because slower growth creates lots of spare aircraft and crews across Ryanair’s 86 bases this winter”.

    Fewer than 400,000 people had been affected by the changes disclosed on Wednesday, it said. Those consumers had been sent an email giving them five weeks to five months to schedule changes and had been offered a full refund or alternative flights as well as a travel voucher, Ryanair said.

    “We sincerely apologise to those customers who have been affected by last week’s flight cancellations, or these sensible schedule changes announced today,” said Mr O’Leary.

    “While over 99 per cent of our 129m customers will not have been affected by any cancellations or disruptions, we deeply regret any doubt we caused existing customers last week about Ryanair’s reliability, or the risk of further cancellations,” he added.

    https://www.ft.com/content/e62218de-...f-7f5e6a7c98a2

  5. #5
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    Fascinante a diferença de perspectivas nas matérias.

    Resumo: a Ryanair incomoda a concorrência.

  6. #6
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    Could Ryanair’s “pilotgate” spell the end of cheap flights?

    'Capitulation' to aviation regulator’s demands will cost airlines ten of millions

    Simon Calde
    29 September 2017 23:16 BST

    Ryanair has apologised to 800,000 passengers for cancelling their flights because of a pilot shortage, and then misleading them about their rights.

    But an obligation to meet travellers’ out-of-pocket expenses has raised fears that airlines’ costs – and fares – could soar because of demands for recompense.

    Airlines who cancel flights appear to have an open-ended liability for out-of-pocket expenses, which could include anything from tickets for an FC Barcelona Champions’ League football match to lost wages.

    The payments are additional to EU requirements to cover hotel rooms and meals connected with flight disruption. Costs could feed through to more expensive tickets – which, with supply reduced because of mass cancellations by Ryanair, are already rising.

    Paul Charles, former communications director for Virgin Atlantic and Eurostar, predicted: “Fares won’t rise on Ryanair, only on other carriers as they gain from extra demand.”

    But Malcolm Ginsberg, editor-in-chief of Business Travel News, said: “Initially fares [on Ryanair] are going to be very, very cheap, but then they’re going to steadily go up.”

    The Civil Aviation Authority (CAA) had demanded a statement from Ryanair explaining its obligations under European passengers’ rights rules. The airline complied shortly before the 5pm deadline.

    The statement explains in unprecedented detail the options open to passengers whose flights are cancelled: a Ryanair flight, if one is available on the same route on the same or next day; a Ryanair flight from a nearby airport; a flight on one of Ryanair’s seven “disruption partner airlines”, including easyJet, Jet2, Aer Lingus and Norwegian; or “comparable alternative transport” by air, rail or road.

    Europe’s biggest budget airline also promises to “reimburse any reasonable out-of-pocket expenses incurred by customers as a result of these flight cancellations”.

    Passengers who have already accepted a refund or alternative Ryanair flight are able to reconsider, while those who have booked on a rival airline can claim the difference in fare paid.

    The improved offer to passengers could double Ryanair's previous estimate of €50m in extra costs because of the debacle. This represents less than 5 per cent of its expected full-year profit. But the obligation to refund “any reasonable out-of-pocket expenses" could add significantly more. “This could open the floodgates to claims,” said one senior aviation executive.

    The source said: “This is yet another turn of the screw on airlines who face a disproportionate obligation compared with other forms of transport. While some passengers will do extremely well out of claiming out-of-pocket expenses, overall it can only increase air fares.”

    The move came two weeks after Ryanair began to cancel hundreds of flights at very short notice, having “messed up” rostering of pilots. It initially cancelled a tranche of 2,100 departures until the end of October, saying that its winter programme would be unaffected.

    But on 27 September Ryanair said it would ground 25 of its jets this winter – representing one-16th of its fleet – and cut 18,000 flights from the schedules.

    By giving more than two weeks’ notice of cancellations, the airline avoided the obligation to pay cash compensation.

    Affected passengers were emailed with two options: a refund, or re-booking on a different Ryanair flight. The option to fly on a rival airline at Ryanair’s expense was not mentioned – an omission that infuriated the CAA’s chief executive, Andrew Haines.

    In a series of letters to Ryanair, he set out a list of demands on behalf of passengers booked on flights to, from or within the UK. They included offering everyone affected the option of being booked on a different airline.

    Andrew Haines, chief executive of the CAA, said: “Our job is to protect passengers’ rights and ensure that all airlines operating in the UK are fully compliant with important consumer laws.

    “Where we find that an airline is systematically flouting these rules, we will not hesitate to take action, to minimise the harm and detriment caused to passengers, as we have done with Ryanair in recent days. It appears that Ryanair has now capitulated.

    "We will review their position in detail and monitor this situation to ensure that passengers get what they are entitled to in practice."

    Ryanair has counter-attacked the CAA for failing to take action against British Airways after its IT collapse in May, saying: "A computer meltdown stranded hundreds of thousands of British citizens/visitors at London Heathrow and many other airports, with no apparent action taken by the CAA in respect of re-accommodation or enforcement against British Airways."

    Victoria Moores, European Bureau Chief of Air Transport World, said the reputation damage of the cancellation saga will ripple well beyond Ryanair: “It’s going to affect other carriers negatively. There’s a perception out there that airlines drag people off flights, they nickel and dime their customers, and really don’t give a damn.

    “Every negative story affects the entire industry."

    http://www.independent.co.uk/travel/...-a7974456.html

  7. #7
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    Ryanair Clarifies Customer Entitlements

    RYANAIR EXPLAINS HOW AND WHEN IT WILL RE-ROUTE CUSTOMERS AFFECTED BY FLIGHT CANCELLATIONS

    Ryanair today (29th Sept) emailed all (under 1%) of its customers who were affected by its deeply regretted 2,100 flight cancellations in Sept/Oct, or the 18,000 schedule changes (announced on Wed, 27th) from November 2017 to March 2018, in order to explain their entitlements under EU261 regulations as follows.


    Ryanair is required to offer disrupted customers (on cancelled flights) the option of a full refund or re-routing to their final destination as follows;

    (A) Refund Option:

    A full refund will be given of an unused flight sector and associated fees. If the disrupted flight is their outbound sector, customers will also be offered a full refund of the return sector.

    (B) Re-routing Options:
    Ryanair will offer all disrupted customers the following sequence of re-accommodation options;

    1. First, move the customer to the next available Ryanair flight on the same route.If this option is not available same or next day, then;
    2. Move the customer to the next available Ryanair flight from/to a suitable alternative airport/s (for example: Luton or Gatwick in the case of Stansted).If this option is not available same or next day, then;
    3. Offer the customer re-accommodation on any one of our agreed disruption partner airlines to their destination as follows; Easyjet, Jet2, Vueling, Cityjet, Aer Lingus, Norwegian or Eurowings airlines. If this option is not available same or next day, then;
    4. Offer the customer re-accommodation on any comparable alternative transport (another airline flight, train, bus or car hire) with the cost of this comparable transport ticket to be assessed on a case by case basis.


    Under EU261, Ryanair will also reimburse any reasonable out of pocket expenses incurred by customers as a result of these flight cancellations, subject to receiving an EU261 expense claim form from customers supported by original receipts.
    If any Ryanair customer on one of these disrupted flights believes that they may have chosen an option that was not suitable for them as a result of any misunderstanding of their EU261 rights, then they should write directly to Ryanair’s Director of Customer Services and Ryanair will assist them in any way it can to obtain their full EU261 rights and entitlements

    Ryanair’s Kenny Jacobs said:


    We apologise again sincerely for the disruption and inconvenience our rostering failure has caused some of our customers. Over the past week we have refunded/reaccommodated over 97% of the customers affected by the 18th September cancellations. This week (by close of business on Sun, 1st Oct), we will have reaccommodated/refunded over 90% of the 400,000 customers who were notified of schedule changes (on flights between November 2017 and March 2018) on Wed 27th.

    In addition, every single affected customer has received a travel voucher for a €40 one way flight (€80 return) for travel in October to March. We have restored the reliability and punctuality of our flight operations. Over the past 7 days we have operated over 15,000 flights with over 96% of our first wave morning departures operating on time, or with zero flight cancellations.

    We have taken on extra customer service staff and are moving now to process and expedite all EU261 claims from affected customers. We are committed to processing all such claims within 21 days of receipt and hope to have all such claims settled before the end of October.”
    https://www.ryanair.com/gb/en/useful...r-entitlements

  8. #8
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    The move came two weeks after Ryanair began to cancel hundreds of flights at very short notice, having “messed up” rostering of pilots. It initially cancelled a tranche of 2,100 departures until the end of October, saying that its winter programme would be unaffected.
    "Ryanair may be rude but it used to be reliable. Its performance was comparable with more expensive rivals. Some 83% of flights were on time in July. But pilot rota troubles pushed that below 80% in early August."

    "Mr O’Leary continues to grapple with Ryanair’s pilot shortage. Last week, the airline blamed its roster mess up on a regulatory change that forces airlines to count crew flying hours over a calendar year, instead of its fiscal year from April to March, which left the airline with too few standby pilots on its roster."



    But on 27 September Ryanair said it would ground 25 of its jets this winter – representing one-16th of its fleet – and cut 18,000 flights from the schedules.

    By giving more than two weeks’ notice of cancellations, the airline avoided the obligation to pay cash compensation.
    (one-16th? Por que não porcentagem (6%) ou total da frota (400)? )

    "The Dublin-based carrier will fly 25 fewer aircraft out of its 400-plane fleet in mid-November to March, and then 10 fewer from April 2018."

    "Fewer than 400,000 passengers travelling between November and March had been affected by the changes disclosed on Wednesday, it said. Those consumers had been sent an email giving them five weeks to five months to schedule changes and had been offered a full refund or alternative flights as well as a travel voucher, Ryanair said."

    Evite brigar com o governo e jamais brigue com a imprensa

  9. #9
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    Dec 2010
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    Brasil registra maior número de passageiros transportados da história

    Cerca de 117 milhões de passageiros, sendo quase 96 milhões em voos domésticos e 21,3 milhões em voos internacionais, foram transportados nos aeroportos brasileiros em 2014, segundo Anuário do Transporte Aéreo de 2014, divulgado pela Agência Nacional de Aviação Civil (ANAC).

    O número representa um recorde na história da aviação brasileira e proporciona ao setor um crescimento de mais de 68 milhões de passageiros nos últimos dez anos.

    http://revistaembarque.com/radar/bra...ia-da-aviacao/



    Gol registra recorde de passageiros transportados (1o semestre de 2014)

    A Gol informou ainda que o número de passageiros transportados pago () atingiu recorde de 19 milhões no acumulado do ano até junho, um aumento de 10% em relação ao ano anterior.

    No mês de junho, a Gol transportou 2,8 milhões de passageiros no mercado doméstico, estável em relação ao mesmo período do ano anterior, resultado do foco da companhia em adaptar sua malha aérea durante a Copa do Mundo

    http://www.valor.com.br/empresas/362...ados-ate-junho

    Aparententemente a RyanAir sozinha transporta mais morons que as aéreas que operam nestepaiz.

  10. #10
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    Monarch Airlines goes bust leaving 750,000 bookings cancelled

    Alistair Smout, Polina Ivanova
    October 3, 2017


    Britain’s Monarch Airlines collapsed on Monday, causing the cancellation of hundreds of thousands of holidays, after falling victim to intense competition for flights and a weaker pound.

    The failure of Monarch, the largest British airline to go bust, will affect nearly 900,000 passengers in total. It marooned more than 100,000 tourists abroad, prompting what was billed as the country’s biggest peacetime repatriation effort.

    Its demise added to turbulence in the European airline industry after Air Berlin and Alitalia filed for insolvency this year.

    Shares of Monarch rivals, easyJet, Ryanair and Wizz Air rose on Monday on the prospect of reduced competition and the chance to acquire some of its assets.

    Monarch, based at Luton Airport north of London and in business since 1968, cancelled about 750,000 future bookings and apologised to customers and staff.

    “I am so sorry that thousands now face a cancelled holiday or trip, possible delays getting home and huge inconvenience as a result of our failure,” Monarch Chief Executive Andrew Swaffield said in a message to employees after the company went into administration.

    “I am truly sorry that it has ended like this.”

    Nearly 90 percent of Monarch’s 2,100 employees were laid off on Monday, the joint administrators said.

    Monarch’s finances deteriorated in 2016, after security concerns deterred travel to Tunisia, Turkey and Egypt and brought increased capacity for routes to Iberia. The decline in the value of the pound has also compounded its problems.

    The airline was bailed out by its owner Greybull Capital a year ago.

    “Monarch has really been a victim of a price war in the Mediterranean,” Transport Secretary Chris Grayling told Sky News.

    http://uk.reuters.com/article/uk-mon...-idUKKCN1C7089

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