Cathay Pacific Offers Pilots $3,700 Bonuses to Keep Flying
Cathay Pacific is offering bonuses of up to HK$29,000 ($3,700) to pilots willing to endure Hong Kong’s strict quarantine regime.
(Bloomberg) -- Cathay Pacific Airways Ltd. is is offering one-off bonuses of up to HK$29,000 ($3,700) to pilots willing to endure Hong Kong’s strict quarantine regime in a bid to get more planes in the air.
Captains who fly one so-called closed-loop flight will get a HK$20,000 bonus and another HK$22,000 payment for their second, rising to HK$29,000 for four or more closed loops for a total potential amount of HK$96,000, according to a staff memo seen by Bloomberg News and confirmed by the airline’s press office. First officers will get HK$15,000 for one closed loop, HK$17,000 for two and so on for a grand total of as much as HK$76,000.
Closed-loop flights involve aircrew operating flights for three to four weeks non-stop, staying in hotel isolation between flights and then spending up to two weeks in quarantine at the end of their deployment before being allowed to return home. The onerous conditions and long absences from family and friends have made it difficult for Cathay to adequately staff and operate its services.
Cathay said in a statement Wednesday that for pilots signing up for closed-loop rosters, “we have added opportunities to have more time away from flying after completing their loops, as well as updating their remuneration to account for changes in our schedule and operation.”
“Encouraging more pilots to sign up to closed loop rosters will allow us to spread the flying tasks across more pilots while continuing to keep Hong Kong connected to the world,” it added.
Cathay Pacific has lurched from the crisis of the 2019 pro-democracy protests that triggered a management overhaul, to the two-year pandemic that has crippled the carrier. Without a domestic market to fall back on and Hong Kong largely isolated from the rest of the world by its strict Covid-Zero policy, the airline has had to rely on a HK$39 billion government bailout and 6,000 jobs cuts to survive.
The carrier is operating just 2% of pre-pandemic passenger capacity and 20% of pre-Covid cargo capacity -- the lowest level at any time since the start of the pandemic.
What Bloomberg Opinion says:
What future does Cathay Pacific have? It seems impossible that it will ever pay off its debt to the government. The most likely option is that a weakened airline finally falls into the arms of state-controlled Air China, which could turn it into a premium carrier and use it to extend its own cargo operations.
To read David Fickling’s full column, click here
Airline crew in the Asian financial hub have also come under close scrutiny after being blamed for an outbreak of the omicron variant in the city. Two former Cathay workers were arrested earlier this week for breaking pandemic rules, and face fines and six months in jail if convicted.
Hong Kong’s adherence to a Covid-Zero strategy of trying to wipe out all virus cases at any cost has left it increasingly isolated, as other parts of the world start to live alongside Covid and shun harsh curbs like mandatory quarantines and lockdowns. The government is focused on reopening the border with mainland China, the last significant Covid-Zero holdout after countries like Singapore and Australia pivoted to viewing the virus as endemic.
The city on Tuesday ordered the culling of thousands of hamsters, rabbits and chinchillas after an outbreak of the delta variant was traced to a pet shop, where nearly a dozen hamsters imported from the Netherlands were found to be infected with Covid.
According to an American Chamber of Commerce survey, Hong Kong’s stringent travel restrictions are now the biggest challenge for U.S. businesses in the city. The strict quarantine rules for travelers make it difficult for head offices to operate, with about 44% of respondents saying business was affected by significant disruption. More than 30% of those surveyed said they’d had to delay new investments, while 30% struggled to fill senior executive roles.
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