This archive report was first published on 24 August 2020.
Published on August 24, 2020, Kenya Airways has been struggling financially, posting losses of almost Sh13 billion in 2019, up from Sh7.5 billion in 2018.
The airline has taken advantage of the pandemic to lay off employees, citing financial difficulties. In total, 650 employees have been let go, including trainee pilots, cabin crew, and newly hired staff on probation.
Kenya Airways plans to lay off 207 pilots, which is half of its 414 pilots, in an effort to reduce costs. The airline spends Sh6.48 billion annually to pay its pilots, and expects to slash this cost by Sh3.24 billion after the layoffs.
On average, a Kenya Airways pilot costs the company Sh1.3 million per year.
The airline has been involved in protracted court fights with its pilots and has also suffered from poaching of talent by wealthy Middle East carriers that can afford to pay higher wages.