maka wrote:obiero wrote:maka wrote:maka wrote:maka wrote:obiero wrote:[quote=My 2 cents]Have these accounts provided for the staff costs that KQ will have to back pay. Remember staff are on reduced salaries and were promised that the cuts would not only be made good but backdated once profitability was restored.
Before covid KQ was spending Kes 16 Billion a year on staff costs.
So assume they have been paying 50% for two years; that means they have a potential liability of more than 16B over the 2 covid years.
It will be a long long long journey back to profitability.
Over half of the KQ staff have been exited, nothing like backdated salaries
Around 1200 or so guys have left... Some opted for VEP others never got their contracts renewed. Those who took VEP were paid their deferred pay those who have remained are still owed deferred pay since 2020. It is a terrible situation. I know a few guys who exited end of Nov and negotiated a package, they haven't receive a cent till now we are in April. Also remember KQ owes waived taxes on the deferred pay. They don't have cash to pay that as well. Really effed up company. Allan keeps saying he is waiting for that 20BN from gava it won't be enough.
Some math... if someone earning a Gross of around 250k was owed around 1.1m in deferred pay at the time of leaving KQ on Jan 31st 2021. How much will someone earning 750k be owed? Please note deferred pay continued accruing after the VEP guys left... Also take note that only 2 pilots took VEP. So the bulk who remained 400 or so and earn like 40% of the total employee costs are owed that cash now add the BLT (Business Leadership Team the senior guys like 30-40 of them) this is def running into Billions. It is a very sad situation. Next year the excuse will be high fuel costs etc etc. No hope here.
@maka come clean bwana. you know majority were dismissals and not voluntary exits, how do we pay arrears to a dismissed staff
Always the comedian...🤣🤣🤣🤣
https://allafrica.com/stories/202111080310.html[/quote]
These were terminations. Recall comes with new contract. Hatulipi. The airline lost 1,123 employees to close 2020 with 3,652, in a period when coronavirus-related air travel restrictions saw it record the highest loss in its history.
Half of the airline staff left through resignations or voluntary early retirements.
KQ ABP 4.26