Kenya Airways Pilots Postpone Strike After Talks With Government

Kenya Airways pilots have called off a planned strike at the airline partly owned by Air France-KLM after talks between union officials and government representatives, according to a spokeswoman.

The Kenya Airline Pilots Association, or KALPA, intended to go on strike from Oct. 18 to demand the resignation of Chief Executive Officer Mbuvi Ngunze and Chairman Dennis Awori. The industrial action was declared illegal through a court order on Oct. 14.

The government asked KALPA for more time to implement the pilots’ demands, union spokeswoman Julie Otieno said by phone from the capital, Nairobi. Awori said last week he was prepared to leave by the end of the year.

A one-day strike in April cost the airline about $2 million, according to Kenya Airways. Africa’s third-largest airline’s first-half earnings to be released at the end of this month will show a reduction in net loss to 5 billion shillings ($49.3 million) from 12 billion shillings, the airline said last week. The company plans to cut 600 jobs and reduce the fleet by almost a third to return to profitability after soaring finance costs weighed on earnings and pushed the company to a record loss in 2015.

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