New Air Line Replacing Air Malta Will Be Revealed This Monday
On Monday, Finance Minister Clyde Caruana is set to announce the launch of KM Malta Airlines plc, the revamped national carrier set to replace Air Malta. This announcement comes after prolonged and intensive discussions with the European Commission.
Flight schedules will remain uninterrupted, and the airline will retain its current fleet. The Air Malta brand will also continue, maintaining a sense of continuity and brand loyalty among its clientele.
The transition follows the European Commission’s rejection of the Maltese government’s request to inject State aid into the long-struggling Air Malta. Brussels’ decision is grounded in EU regulations that necessitate member states to secure approval before offering financial assistance to national companies.
Malta’s proposal to inject €290 million to revitalize the national carrier, through a five-year State aid financing plan, was turned down.
Although the name Air Malta will live on, significant changes, including a new livery and modifications to the frequent flyer programme, are anticipated under the banner of KM Malta Airlines plc.
The current workforce is expected to be retained, alleviating concerns of job losses amidst the transition. Staff integration processes into the new airline’s operational framework are anticipated, ensuring that the workforce aligns with the strategic objectives of the revamped carrier.
Trade unions are reportedly nearing a consensus on the transition, with sources citing “positive feedback” on the developments. The pilots’ union, having been briefed on the new working conditions towards the end of August, is part of the ongoing discussions shaping the future of the national carrier.
The airline, which reported losses exacerbated by the pandemic, is on the brink of a new era. With daily operational losses pegged at over €170,000 in 2021, the introduction of KM Malta Airlines is not just a strategic pivot but a necessary lifeline.
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