Adria Collapse: First Termination Notices Sent to Staff

By , 07 Oct 2019, 16:19 PM Business
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STA, 7 October 2019  The official receiver of Adria Airways started serving notices of job termination to the airline's employees on Monday while pilots and cabin staff are reported to be interviewed with potential new employers.

The official receiver, Janez Pustatičnik told the STA on Monday that he started serving notices today, but he could not say when all of the 558 airline's employees would receive them.

Some of the staff are currently abroad, these will get termination notices by post, said Pustatičnik, who held first meetings with the employees on Wednesday, as the Kranj District Court ordered receivership for the company.

Those of the redundant workers who would like to claim unemployment benefit, need to register with the Employment Service and ask for the benefit within 30 days.

Those who register within three days after the expiry of the notice period, will be eligible for an allowance equalling 80% of the average of their salaries and the others to 60% of the average.

The receiver expects to be able to assess the scope and the duration of the receivership procedure by the time he compiles an opening report when the amount of registered claims, the size of the bankruptcy estate and a detailed state of the company's finances are clear.

The receivership was started at the request of the management of the German-owned carrier due to insolvency after the government declined its calls for aid. Unofficially, the company ran up EUR 90 million in debt.

Citing unofficial sources, the newspaper Finance reports that the Polish flag carrier LOT has conducted job interviews with Adria pilots, while cabin staff have received offers for jobs from Wizz Air, the Hungarian low-cost carrier.

According to Finance, LOT is looking for at least ten pilots for smaller aircraft, which suits Adria pilots well-being that they are licensed to fly Canadair aircraft, now rarely used planes worldwide.

Some of Adria Airways' major links have been taken over by foreign airlines, while the government has proposed legislative amendments that would make it possible to subsidise commercially unpopular links.

Speculation is also rife about potential incorporation of a new air carrier. Some media have been reporting that a foreign airline might step in and employ at least part of Adria staff.

All our stories on Adria are here

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