TAIPEI (Taiwan News) – Taiwan’s China Airlines (CAL) is reportedly considering the discontinuation of a number of flight routes to reduce operating costs set to rise following the week-long pilot strike that ended on Feb. 14.
Necessary adjustments will be made to CAL's route portfolio to improve the company’s financial performance, as expenses are expected to increase after the company agreed to address issues of overwork and fatigue among pilots, reports UDN.
Routes considered less profitable are set to be cut as early as the second half of 2019. Flights most likely to be affected include those from Singapore to Indonesia's Surabaya, and those destined for Delhi, London, Ontario, as well as cities in New Zealand and Australia.
According to the report, CAL has been increasing its number of routes over the past few years to include destinations such as Lisbon, Melbourne, London and Ontario. The company has been under pressure to maintain profitability since fuel costs increased last year.
The pilot strike is expected to further exacerbate the issue. The strike was the first of its kind in Taiwan's aviation history, leading to the disruption of a great deal of air traffic during the Lunar New Year holiday.
The incident has prompted CAL, the country's largest airline, to review its route itinerary among other company policies to reduce spending and personnel costs, while simultaneously exploring new sources of revenue, wrote UDN.