Ukraine International Airlines (UIA) has started the process of firing 900 of its employees, and plans to reduce the size of its long-haul fleet, UIA President Yevhen Dykhne has said in a statement. The national carrier’s press service told Interfax-Ukraine that UIA has already begun the process of staff reduction in accordance with the law, which will require a minimum of two months notice. The airline announced on May 28 that it had started the process of dismissing 900 workers because of the lockdown. Dykhne said in a statement the carrier was “taking all possible measures to reduce costs and generate income” and that the company would also reduce the size of its fleet of planes.
Dykhne said in his statement: “Now the company’s management is taking all possible measures to reduce costs and generate income from single flights. Our goal is to preserve the company and key personnel, in particular flight crews. Unfortunately, a significant decrease in the airline’s activities resulted in a forced reduction of 900 UIA highly professional employees,” UIA President Yevhen Dykhne said.
Kyiv’s Boryspil Airport has seen revenues fall by 86.8% in April due to the COVID-19 lockdown. The international Airport in April 2020 received UAH 50 million in revenue, which is 86.8% less than in April 2019, the company’s press service told Interfax-Ukraine. “In April 2019, the airport’s revenues amounted to UAH 380 million, in April 2020 they amounted to UAH 50 million. Thus, the airport loses about UAH 330 million per month,” the company’s press service said.
Kyiv Sikorksy International Airport plans to restore only 30% of its passenger traffic by 2021. In fact, an optimistic scenario expects to restore that amount of passenger traffic by the end of this year. “We think that if we manage to reach 30% (of the pre-quarantined volumes of passenger traffic) by the end of the year, this will be a very good indicator,” Oleh Levchenko, the head of the airport and director general of Master-Avia, said on the air of 24 Ukraine TV channel.
Levchenko added that the airport asked the government to intervene to help provide the airport with 30% of the capital’s air traffic, leaving 70% to Boryspil International Airport. “This will allow the airport to withstand the conditions of normal competition, and will enable both airports to retain revenue … A certain 30% come from how many passengers we need to break even,” Levchenko said.
State railway Ukrzaliznytsia is ready to resume passenger service, with 42 trains ready to be launched, Minister of Infrastructure Vladyslav Krykliy said on Thursday May 28. He said that the regional commissions on issues of anthropogenic and environmental safety and emergency situations determine when and what routes would be launched. They form an appropriate decision regarding the possibility of easing lockdown and resuming passenger service.
Ukraine is to resume work at 66 checkpoints on the border with the EU and Moldova at midnight on May 28, the State Border Service has said.
The U.S. Pentagon has moved to provide additional military aid to Ukraine, thanks to the country’s progress on reforms, it said. The Pentagon has notified Congress that Ukraine’s government has made the necessary progress on key institutional reforms, thereby justifying an additional $125 million in new military assistance, CNN reported referring to a US defense official and a congressional aide.
U.S. defense officials have decided that Kyiv is making progress in countering corruption, improving transparency and boosting civilian oversight was required by law to permit the assistance package moving forward. The package is the second half of the $250 million in Ukraine Security Assistance that was appropriated by Congress in the 2020 National Defense Authorization Act.
