Air Terminal Services Fiji Limited has terminated employment contracts of 285 workers effective from today as a direct result of the COVID-19 pandemic.
ATS says it has experienced a drastic 95%plus reduction in business and there is significant uncertainty around the return of commercial flights at Nadi International Airport.
Company CEO, Hare Mani says ATS notes that the termination of the contracts was a very difficult decision to make, and one only made after exhausting all other options.
Mani says in implementing the termination, the company chose not to simply give notice, as per the employment contract, rather to make payment in lieu of notice.
He says over 40 percent of the workforce had already exhausted paid leave provisions and were on Leave Without Pay.
Mani says employees received 2 weeks of wages they would not otherwise have been entitled to. He says further to this the Company paid a 10% loading on all accumulated annual and long service leave as per their contract.
The CEO says ATS will proceed with further terminations, however, is careful to ensure enough time was provided to those employees who may wish to apply for their contractual provision of Voluntary Early Retirement with substantial financial benefits.
The Company has already processed Voluntary Early Retirement for 30 employees to date.
Mani says they consulted with the Federated Airlines Staff Association yesterday and emphasised the goal of achieving a mutually beneficial outcome when addressing termination of contracts.
He says the meeting eventually ended with the FASA officials walking out without exploring this option.
Mani says the Company empathises with workers they represent, as it is of the view that employees have missed out on an opportunity to cease employment on terms over and above minimum entitlements.
He says with many of ATS employees already at home on paid on unpaid leave, there may be uncertainty regarding their employment status.
Mani says individuals should not hesitate to contact the HR office to clarify this.
The ATS CEO says earlier this month ATS had implemented retirement as per the respective article of the employment contact for 22 employees who were over the age of 55 years.
These employees were also assisted by paying in lieu of notice where this was not required.
Mani says as business picks up and as the opportunity presents itself, the Company will revisit its position.
ATS passenger services [image: ATS]
FTUC condemns
decision to terminate contracts of ATS employees
Anthony
claims a brand-new Prado has been bought for Acting CEO of ATS
The Fiji Trades Union Congress has condemned the decision of the Board of Air Terminal Services to terminate the contracts of its employees.
National Secretary, Felix Anthony says he had expected the ATS management would have accepted the offer made by the Federated Airlines Staff Association that workers were prepared to work for free until the situation improves.
Anthony says the ATS Management has rejected this proposal and claims that the contracts cannot be fulfilled.
Anthony says these ATS workers are partial owners of ATS and they do not deserve this treatment.
Anthony also claims that in these difficult times a brand-new Prado has been bought for the Acting CEO.
Anthony is calling on the government to explain its position in the termination of workers at Fiji Airways and now at ATS.
Acting ATS CEO, Hare Mani is expected to comment later.
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