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KQ adopts cost-cutting strategies to navigate the pandemic

KQ rehires laid-off employees on higher ticket demand

The national carrier, Kenya Airways (KQ) is working to shift from fixed employment costs to a productivity-based cost as it strategizes to stay afloat amid dampened aviation activity as a result of the pandemic.

KQ’s Managing Director Allan Kilavuka said the carrier is engaging pilots to move away from the existing collective bargaining agreement, which will allow the airline to cut down on employment costs.

Through restricting strategies, the airline has so far cut employment costs by over 30 percent and the number of staff by 24 percent.

However, despite the recent Ksh.10 billion allocations to bail out the carrier by the government, Kilavuka saID performance remained low compounded by both global and local COVID-19 curbs.

KQ Chair Michael Joseph said they are keen on opportunities of partnerships and consolidation even as they await the outcome of the national aviation and management bill which seeks to nationalize the airline.

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