May 16, (THEWILL) – Two aviation unions in the country, National Union of Air Transport Employees (NUATE) and Air Transport Senior Staff Services Association of Nigeria (ATSSSAN), have challenged reports, indicating that the oldest Nigeria’s airline, Aero Contractors is irredeemably insolvent, stating that the report and the CEO’s assertions are thoroughly economical with the truth.
According to the union, what is in the public domain is not the true position of the Aero Contractors, adding that there are hidden forces orchestrating a hidden agenda to sabotage the aviation company.
The unions in a statement titled: “Who Wants Aero Gone? And Why Kill Arik”, issued Monday, and signed by General Secretary of NUATE, Comrade Ocheme Aba and Deputy General Secretary, Comrade Frances Akinjole, called on Assets Management Corporation of Nigeria (AMCON), to immediately replace the Receiver Manager of Aero Contractors, because “the assignment is obviously well outside his competence, as clearly marked by his abdication of his role.”
The unions also accused AMCON, which has Aero Contractors and Arik Air, under its receivership as being in “self-induced state of abject mental lethargy to engineer any rebounds, leaving the airlines in seeming derelict and forsaken conditions.”
The unions emphasised that it is crystal clear that some forces are toying with the lives of Aero Contractors and Arik Air.
“This translates as toying with the lives and livelihood of thousands of Nigerian citizens. It also means toying with Nigeria’s aviation ecosystem. And we hold strongly that these forces do not mean well for Nigeria, but may have a lot to benefit selfishly. As such, it is important for the Nigerian government and the Nigerian people to counter and neutralise these dark forces.
“In the above regard, we use this medium to appeal to the National Assembly, the Honourable Minister of Aviation and the Honourable Minister of Labour & Employment, to use their good offices to cause an intervention that could save Aero and Arik, the workers and their families, as well as Nigeria’s aviation industry from imminent disaster.
“Specifically, we call for a probe of the circumstances surrounding the rumoured selling of one or both of the Airlines to the promoters of 5A’s for cheap, after the Airlines must have been forced to the ground by an artificially created financial crumbling. We also call for strong and deeply reflective interface among the Ministry of Aviation, AMCON and the legacy shareholders of Aero Contractors and Arik Air, for the purpose of knocking out a deal that could truly rejuvenate the airlines, one way or another and resolve the legacy owners’ imbroglio once and for all. We call for a complete stop of further attempts to truncate genuine revamping efforts at keeping these airlines on the part of recovery. Specifically, we call for a halt of further attempts through House of 5A’s to force any phoney lease contracts down the throat of Aero Contractors and Arik Air”, they added.
Rebutting the report which indicated that Aero’s planes are too old to fly, the unions pointed out that Aero operates the B737 Classic generation, the oldest of which just clocked 30years.
According to the unions, “This class of aircraft is able to operate up to 85,000 cycles or 100,000 flight hours as approved by the Manufacturer, Boeing. None of these aircraft in Aero’s fleet has operated up to half of the approved figures. We stand to be proved wrong. While it is true that older aircraft do have higher maintenance costs, it must be borne in mind that the Airline owns an approved Maintenance & Repair Organisation (MRO) with elite Engineers in its fold.”
The unions further noted that till date, there is no report from the MRO, or the Nigerian Civil Aviation Authority (NCAA), that any aircraft operated by Aero is too old to be maintained, or to fly.
“Or that there exist any shortfalls in Aero’s maintenance culture. On the contrary, Aero’s maintenance culture is rated among the very best. Therefore, this high flying lie of too old aircraft in Aero clearly bears ulterior motives.”
In its reaction, management of Aero Contractors stated that all the allegations about the Managing Director on High 5A’s and Charles Arumemi Johnson are unfounded.
According to the Management, Charles is a very competent staff of Arik Air owned by AMCON, which equally owns Aero Contractors; therefore there is no conflict of interest.
They further emphasised that Charles is instrumental to the recently launched Aero portal, which has given the site a face lift and made it more user friendly compared to the previous website.”
On the High 5A’s, the management maintained that, “every partnership was done with the aim of improving the revenues of the airline, particularly in relation to our unserviceable equipment and ensuring standard customer service. The question is what was our revenue before, during and after the exit of High 5As? They should please respond.”
Aero management stated that the company is conscious of the challenges we are facing and have been prudent with our expenses, and doing our best to take care of staff welfare,urging the staff and unions to desist from this attitude and support the company to overcome its challenges.
“The current management decided to create the four Strategic Business Units (SBUs): Maintenance Repair Overhaul (MRO), Aviation Training Organisation (ATO), Airline Operation and Rotary Wing, to enhance efficiency and profitability.
“There’s no Nigerian carrier without debt overhang caused by the operating environment. And all major airlines in the world have had similar challenges, but took strategic measures to turn around the airlines. It is unfortunate that the airline industry operates on thin margins and airlines are always making efforts to be leaner and smarter to stay afloat.
“Whatever management decisions are taken are usually done with the engagement of the unions. It is at the instance of the unions the Chief Executive Officer called for a Town Hall meeting last week. We believe that as the revenues begin to improve over the next few months, following strategic engagements with potential partners, the airline’s fortune will improve”, Aero added.
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