Is BA about to ground entire fleet?Back to Forum
According to a comment on Head for Points that rumour is rife on internal BA comms :-
Rob’s view is that this wouldn’t happen until 14 days hence, so that BA can avoid paying EC261
I do of course realise that this is most likely to be yet more fevered speculation. But it would be BIG if true.
Maybe @rferguson has some insight?12 Mar 2020
What a load of absolute rubbish. Why would BA ground the entire fleet because of Trump?
BA has more destinations than USA, Italy and Asia.
Yes, they will be quiet, but they will bounce back. There are many, many more vulnerable airlines.12 Mar 2020
I don’t think this will be down to Trump or even the airline’s own choice.
Will all depend on what Boris & co have in store for the UK. Absolutely nothing will surprise me. I will certainly NOT be surprised if ultimately all airports and flights are suspended for a period of time.12 Mar 2020
I’ve heard, from a reliable source, that the management of a sizeable Northern European airport are having serious discussions about closing down for a week.
It would not surprise me if things reached this stage, if only briefly.12 Mar 2020
Some long-haul leisure routes, where passengers book in advance and are often booked as part of a package, are still seeing high loads, ie to the Caribbean, Cancun etc. They’re certainly not going to cancel those anytime soon.12 Mar 2020
I listened earlier this morning to a radio interview with Tony Tyler the just retired former head of IATA and former CEO of Cathay Pacific who replied to the question re airlines and BA particularly closing down their entire networks with the comment ‘that no major airline CEO would entertain the idea of closing’ this because that major airlines have huge fixed overheads and holding costs and any revenue that will mitigate the major losses is much needed. He said that is the reason why airlines are not reducing fares or offering incentives is precisely because every dollar of revenue is desperately needed.13 Mar 2020
I listened earlier this morning to a radio interview with Tony Tyler the just retired former head of IATA and former CEO of Cathay Pacific who replied to the question re airlines and BA particularly closing down their entire networks with the comment ‘that no major airline CEO would entertain the idea of closing’ this because that major airlines have huge fixed overheads and holding costs and any revenue that will mitigate the major losses is much needed. He said that is the reason why airlines are not reducing fares or offering incentives is precisely because every dollar of revenue is desperately needed.
It doesn’t surprise me in the least that Tony Tyler doesn’t know what a demand curve is.13 Mar 2020
So BA has made no announcement on what the capacity cuts will be.
But personally i’d doubt a full close down. For the following reasons:
1. there is still demand (although reduced) for air travel.
2. Where do you park 350-400 aircraft? And airports do not give away long term plane parking for free.
3. BA has longhaul aircraft from the 787-8 to the A380 in size. It would make sense to adjust their resources to best fit the demand.
4. I don’t personally see any benefit in a complete grounding where BA will still have to pay leases, fuel (which is paid in advance), staff (which they can just not stop paying).
**Personal opinions only**13 Mar 2020
These are exceptional times, and business needs to think of survival here. There is demand, but how much and for how long. I think the EU should suspend compensation rules, so airlines can match demand to services, for the sake of their survival, the environment and the economy in general. I,for example have had all my meetings in Europe cancelled. I have BA flights booked I do not need. I hope that BA cancel, but now it is 14 days to go, i doubt they will. I would be happy to take vouchers for future flights so BA have my cash, but then they can plan flights with supply and demand in balance.
The whole thing is a mexican standoff, stupid, and all down to money, which is being wasted, at the detriment of everyone.
As passengers, we need to be flexible, and pragmatic, and except the situation as it is.
Hotels, seem to be realistic, though ACCOR are giving me bad vibes, about some bookings, so if required I will boycott them in the future. Those that show sense now and help me, will get my future loyalty.13 Mar 2020
Rather sensational headline, however nothing would be surprising in the current environment.
As far as airlines are concerned – I would probably have more sympathy if the likes of BA had not fattened their profits by routinely denying genuine compensation claims in better times with bogus excuses. When you play hard ball with customers then don’t complain if they play hard ball back.13 Mar 2020