Aviation Industry To Find Its Way Back In 2022

According to Emirates Chief Operating Officer Adel Al Redha, the aviation sector could find its way back in 2022,  if the airlines and airports ramp up hiring to deal with severe staff shortages

FREMONT, CA: Global airlines are expected by the  Industry body IATA to return to pre-COVID levels in 2023. In Arabian Travel Market, AL Redha said that the industry could come back in 2022, but what’s pulling them back is their ability to source the required frontline staff, whether it is the airline, ground handling or airport. The financial capital of China, Shanghai has seen strict lockdowns being imposed after a recent spike in cases, and many Gulf-based aviation industry executives have rejected the possibility of travel restrictions returning on a global scale. Emirates’s load factor is an industry metric that measures an airline’s ability that has risen above 75 per cent across its network with some routes almost at 100 seat factors. The airline has been practising hedging as told by the Emirates executive, without disclosing any further details, Airlines like Sharjah-based Air Arabia have oil hedges that can help partially offset the fuel price increase. Al Redha further added that they have some kind of adaptation to cope with the fuel prices because they were not expecting to be hit with that level of price two months back. Al Redha termed the industry-wide adoption of Bitcoin or other cryptocurrencies as ‘inevitable’ and said it could be part of the airline’s future digital push.

Passenger traffic measured in revenue passenger kilometres was up to 76 per cent compared to the same period last year according to IATA’S March update. 285 was the percent that international air travel demand rose against March 2021. Capacity in the month rose to 96.6 per cent versus the year ago, while load factor surged 31.1 percentage points to 72.1 per cent. Willie Walsh, IATA’s Director General said , with barriers to travel coming down in most places, they are seeing the long-expected surge in pent-up demand finally being realised. Unfortunately, they are also seeing long delays at many airports with insufficient resources to handle the growing numbers, this must be addressed urgently to avoid frustrating consumer enthusiasm for air travel, Walsh further added.

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