MERIDIANA:The “Made in Italy” solution of a Labor Dispute in the Airline Industry

How to destroy a strategic industry for the Italian and European Economy, the Italian Airline Industry, creating more than 1600 redundancies paid by the Italian State Government and in the meanwhile buy a low-cost Airline Company to dump there the flying activities. Ask Meridiana’s management.

How to create private Airline using public funds. Ask Meridiana’s management.

The employees – pilots, flight attendants, call center, maintenance, ground operations, all together, now 1634 redundancies – decided to wear a Red T- shirt “ I AM A MERIDIANA ESUBERO” and start a pacific, civil protest, revealing to the General Attorney first and to the Public Opinion then, everything the management had done and is still doing.

tappeto umano

Finally, last 28th of November, the General Attorney of Tempio (Sardinia) has placed the President of the carrier, Marco Rigotti and three former CEO, Massimo Chieli, Giuseppe Gentile and Roberto Scaramella under investigation. This decision has been taken and an inspection of the headquarter of Meridiana in Olbia and all its offices in Milan and Rome by the Financial Military force (GICO Guardia di Finanza), took place a few days ago. If judges accept the attorney general’s request, the carrier could be entrusted to a judicial administrator (a kind of Chapter 11).

Stop us, if you can one of the manager said to an employee, while smiling, few months ago. Probably we cannot. Because we have all the support of the Italian people, the Pope, but Italian Government didn’t do anything. “It’s a private company, we just give suggestions” this is the most that Minister Poletti (Italian Minister of Labor and Social Policies) said.  Yes, it is a private firm, but living on public funds, dished out to guarantee employee salaries.

 

President Renzi, who will be next President of European Union, has never said a word yet (or a tweet,PAPA 3 as he loves to tweet) about Meridiana. 

That is why we decided to come here. To let you know what is the situation of the last – and unique ALL Italian Airline – as Alitalia is half of Etihad – a few months before the EXPO 2015 in Milan.

 

Highlights of MERIDIANA before the “scientific destruction” by the Management

MILAN MALPENSA/LINATE: long haul flights, medium haul flights, short haul flights to USA, Caribbean, Africa, Asia, Europe, Italy

OLBIA, CAGLIARI (Sardinia): medium haul and short flight to Italy, Europe

VERONA: long haul flights to Africa, medium and shorts flights to Europe and Italy

FIRENZE (now closed) medium and short flights to Italy, Europe. After Meridiana closed the base, Vueling decided to open one because it was obvious the high revenue (ROI) from the routes dismissed by Meridiana.

Last years of Management: Why this is a “false crisis” created under false pretense 

2011 

June: Meridiana opened a procedure of crisis, culminating with 800 Unemployment benefits package (which means Salary provided by Italian Government while Meridiana’s management was supposed to find a strategy to overcome his crisis).

July: Meridiana bought a low cost airline, debt-ridden, Air Italy. Meridiana paid it 80 million euro. After a while Air Italy was depreciated the 75% of its initial cost.

October: Meridiana begun a scientific and progressive transfer of flight operations by Meridiana to Air Italy (remember: 800 Meridiana’s employees were paid by the Italian State NOT TO WORK).

CONSEQUENCES à the transfer of activities from Meridiana to Air Italy was so huge that Meridiana started to ground its aircraft paying also leasing contract termination penalties with lessors  (early disposal of the fleet leasing sundial), in order to have the good excuse to pump up Air Italy at her most. If an Airline has no-aircraft but still has slots, another Airline has to fly for it (the low cost Air Italy or other Companies in wet leasing).

The result of this operation is that redundancies among Meridiana staff dramatically increase while staffing needs in Air Italy grow. This exacerbate the crisis status of Meridiana that feels the right to ask more helps to Italian Government to handle the redundancies that it is generating with this industrial behavior .

2012

– December: Meridiana gets increased Government funds (Cassa Integrazione) since, the mechanism described above, generates more redundancies among Meridiana employees.

– Laid off Meridiana gets to 1300 units (FTE—> FULL TIME EQUIVALENT), while subsidiary Air Italy in the same period doubled its workforce.

2013

Balance: the budget Air Italy, which was supposed to be the lightweight company and the low cost, in 2013 recorded a debit of € 46 million

Air Italy was “saved by the bell” and the debts with UNICREDIT Bank were paid entirely by Meridiana Spa. Fix costs of Air Italy are totally paid by Meridiana that considers Air Italy its Capacity Provider.

– Along with the massive dumping that operates in constant presence of CIGS, in the “conspiracy silence” of Institutions, Meridiana is also forced to use other carriers (Slovaks and Romanians) in order to meet peak summer. Let’s remember, Meridiana GAVE AWAY HER OWN FLEET FIRST AND KEEP HIS OWN EMPLOYEE UNEMPLOYED.

2014 – TODAY 

– INQUIRY: General Attorney of Tempio Pausania (Sardinia) last 28th of November has placed theMeridiana_Giustizia
President of the carrier
, Marco Rigotti and three former CEO, Massimo Chieli, Giuseppe Gentile and Roberto Scaramella under investigation. This decision has been taken along with the need of an inspection of the headquarter of Meridiana in Olbia and all its offices in Milan by the Financial Military force (GICO Guardia di Finanza).

If judges accept the attorney general’s request, the carrier could be trusted to a judicial administrator.

– SCENARIO: two companies and one brand. The management wants to use the brand Meridiana and operates Air Italy “disguised” (repainted aircraft, personnel who use the uniform Meridiana) that costs less, has fewer claims in terms of rules, safety and security. Meridiana has many senior and unionized staff. Air Italy has young employees, not unionized, VERY FLEXIBLE ON RULES, ALSO THE ONE RELATED TO SAFETY AND SECURITY MATTERS.

The management would like to have:

  • A Bad Company empty with the “elderly” employees
  • A Good company (with NEGATIVE BALANCE SHEETS HOWEVER) filled with young flexible employees from every point of view. In addition, if this is not enough, Meridiana keeps on renting foreigner’s planes and crews -Romanians or Slovaks- while its own employees are forcedly kept home with no flight activity.

Everything has happened in CONSISTENCY OF UNEMPLOYED BENEFITS REGIME. Many Senators and Deputies of the Italian Republic have defined this – in the Houses of Parliament- as a “scam at high altitude” because of commingling union policies and initiations that revolve around the “system Meridiana”. In the SILENCE of Italian Government.