TheCitizen - It's all about you
  • Home
  • Headlines
  • Latest News
  • Governance
  • Business
  • Financial Crimes
  • Opinion
  • Editorials
No Result
View All Result
TheCitizen - It's all about you
  • Home
  • Headlines
  • Latest News
  • Governance
  • Business
  • Financial Crimes
  • Opinion
  • Editorials
No Result
View All Result
TheCitizen - It's all about you
No Result
View All Result

Aero Contractors sacks 900 workers

The Citizen by The Citizen
March 17 2017
in Business, Uncategorized
A A
0

Aero Contractors Airline, which is under the management of the Asset Management Corporation of Nigeria (AMCON), has sacked about 900 workers representing 60 per cent of its workforce.

Letters of redundancy were issued to the affected employees during the week.

Media Consultant to the 58-year-old airline, Mr Simon Tumba, who confirmed the development in a statement issued on Thursday in Lagos, said the workers would be paid their pension and gratuity.

Aero as at last September had about 1,500 workers on its payroll before it suspended flights. AMCON had taken it over in 2013.

Tumba said the airline had been grappling with huge and unrealistic personnel cost as well as other operational challenges,  worsened by lack of enough aircraft to keep all the workers meaningfully engaged.

“The issuance of notification of redundancy is a business decision that will ensure Aero’s survival.

“The current situation where over a thousand people are basically not engaged due to lack of serviceable aircraft is not sustainable for the airline.

“The huge monthly salary associated with a bloated workforce will eventually kill the airline, which is not the intention of the current government,” he said.

According to him, Aero Contractors currently has aircraft-to-employee ratio of 1:500, which analysts believe is perhaps the worst in the history of global airline industry.

Tumba said government’s intervention in Aero was to save it from total collapse. Therefore, he said, all steps such as this (issuance of redundancy letters) to ensure its survival must be put into effect to save the airline.

”This decision will immediately reduce the whopping operational cost, which has been stifling Aero, enable the management bring in more aircraft through savings from overheads and pay for C-checks.

“It will also enable Aero have a more manageable and committed workforce in line with international best practices of 50 to 60 personnel to one aircraft unlike what obtains in Aero at the moment.”

He, however, added that those in Maintenance Repair and Overhaul (MRO) and other essential staff in critical departments would not be affected.

Tumba said Capt. Ado Sanusi, the Chief Executive Officer of Aero, had also assured the workers that they stand a chance of being recalled as soon as the airline increases the number of aircraft in its fleet in the near future.

One of the redundancy letters made available to newsmen read:, “Following the operational challenges of Aero culminating in loss of business opportunities that adversely affected company finances vis-à-vis operations, we are constrained to place you under redundancy pending a possible future review.

“This decision was communicated to the unions where their understanding was solicited in view of prevailing operational difficulties.

“Whilst Aero appreciates your contribution to the company and continues to regard you as worthy ambassadors, we solicit your understanding as we struggle to stabilise operations and rebuild the company.”

However, the National Union of Air Transport Employees (NUATE) and the Air Transport Senior Staff Services Association of Nigeria (ATSSSAN) , have kicked against the move by the airline.

Mr Frances Akinjole, General Secretary, ATSSSAN, told newsmen that a notification had been sent by the unions to the affected workers not to accept the “purported letter of redundancy “.

“We are totally against it because in the first place, our members are still being owed salaries and we have not even negotiated the redundancy package.

“If they go ahead with this move then the unions are prepared to face them headlong,” he said.

According to Wikipedia, Aero Contractors was founded in 1959 and officially registered in Nigeria in 1960. At that time, it was wholly owned by Schreiner Airways B.V. of the Netherlands.

It became a company with initially 40 per cent Nigerian holding in 1973 and subsequently 60% in 1976, anticipating the requirements of the Nigerian Enterprises Promotion Decree of 1977, also known as the indigenisation decree.

In January 2004, Schreiner Airways was bought by CHC Helicopter (CHC), which acquired a 40% holding in Aero, while the 60% majority share remained within the Ibru family.

On 1 July 2010, CHC sold its interests in Aero for the consideration of 1 Nigerian naira, when Aero became wholly owned by the Ibru family.

In March 2013, industrial action grounded flights for 18 days, in a dispute over outsourcing and reduction in staff numbers. The strike, from 13–28 March, grounded Aero’s active fleet of nine aircraft, and was reported to have cost the airline at least N10bn in ticket sales

After financial intervention, the Asset Management Corporation of Nigeria (AMCON), an arm of the Federal Government of Nigeria, held 60% of Aero, and in August 2013  AMCON took over the management of the carrier.

Hugh Fraser was named as  CEO then but the current CEO is now Captain Ado Sanusi, who himself replaced  Captain Fola Akinkuotu, has assumed duty as the new managing director of Nigerian Airspace Management Agency.

Previous Post

FirstBank CEO, Adesola Adeduntan, emerges Leadership Banker of the Year

Next Post

DMO issues more bonds as inflation rate slides

Related Posts

Uber commences drivers’ mask verification
Business

Uber shuts down Nigerian operations

September 2 2026
Egbin Power reinforces SDG 4 Commitment as 11th edition of scholarship programme begins
Business

Egbin Power reinforces SDG 4 Commitment as 11th edition of scholarship programme begins

September 1 2026
Dangote Refinery slashes petrol, diesel prices again
Business

Court stops NMDPRA from shutting Dangote Refinery

September 1 2026
Nigeria records 8.51m terabytes of data use in H1 – NCC
Business

NCC pushes local tech investment to cut imports

August 30 2026
Lagos Cinema honours brave security personnel, boosts security
Business

Lagos Cinema honours brave security personnel, boosts security

August 29 2026
Shell commends efforts towards Regional Action Plan for safe helicopter services
Business

Shell commends efforts towards Regional Action Plan for safe helicopter services

August 29 2026
Next Post

DMO issues more bonds as inflation rate slides

Forex: CBN offers, receives bids for $100m

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

FROM THE GRASSROOTS

Lagos demolishes shanties after four die in community clash

Lagos demolishes shanties after four die in community clash

by The Editor
August 30 2026
0

...

Kano, Sokoto, others spend N53.2bn on scholarships abroad

INEC fixes Sept 19 for Kano Assembly by-election

by The Editor
August 27 2026
0

...

Awujale: Ruling House sues Ogun, kingmakers

Awujale: Ruling House sues Ogun, kingmakers

by The Editor
August 25 2026
0

...

Umahi’s son wins Ohaozara chairmanship as APC sweeps all Ebonyi LGAs

Umahi’s son wins Ohaozara chairmanship as APC sweeps all Ebonyi LGAs

by The Editor
August 24 2026
0

...

APPOINTMENTS

Tinubu swears in Enitan as new Head of Service

Tinubu swears in Enitan as new Head of Service

by The Editor
August 28 2026
0

...

Tinubu names new Head of Service

Tinubu names new Head of Service

by The Editor
August 19 2026
0

...

Sahara Upstream positions Arahas and SGIR for next growth phase, deepens investment in African oilfield services

Sahara Upstream positions Arahas and SGIR for next growth phase, deepens investment in African oilfield services

by The Editor
August 8 2026
0

...

Police IG deploys new CPs to eight states, other formations

Police IG deploys new CPs to eight states, other formations

by The Editor
August 7 2026
0

...

ODDITIES

How friend deceived me to sell my kidney, bought phones with payment — Victim

How friend deceived me to sell my kidney, bought phones with payment — Victim

by The Editor
August 30 2026
0

Umahi files N2.5b defamation lawsuit against bloggers

Umahi files N2.5b defamation lawsuit against bloggers

by The Editor
August 26 2026
0

Scavengers strip Lagos bridges, homes in widespread theft

Scavengers strip Lagos bridges, homes in widespread theft

by The Editor
August 25 2026
0

GLOBAL NEWS

Iran President thanks Putin for Russia’s stance in war with US

Iran President thanks Putin for Russia’s stance in war with US

by The Editor
September 1 2026
0

...

Saudi Arabia halts multiple visas for Nigeria, 13 others as U.S. suspends visa dropbox

US outlines two family visa options for permanent residence

by The Editor
September 1 2026
0

...

US Army Secretary submits resignation

US Army Secretary submits resignation

by The Editor
September 1 2026
0

...

Russia helps Niger Republic junta to retake military base

Russia helps Niger Republic junta to retake military base

by The Editor
August 30 2026
0

...

WHO declares global health emergency over Ebola outbreak in Congo, Uganda

WHO confirms Uganda Ebola-free, as virus continues spread in DRC

by The Editor
August 28 2026
0

...

State of the States

Lagos empowers 6,190 residents with free vocational, entrepreneurial skills

Lagos empowers 6,190 residents with free vocational, entrepreneurial skills

by The Editor
September 2 2026
0

...

Gov. Mutfwang convenes security council over Plateau attacks

Gov. Mutfwang convenes security council over Plateau attacks

by The Editor
September 2 2026
0

...

Enugu govt gets commendation for successful hosting of 2nd City Marathon

Enugu govt gets commendation for successful hosting of 2nd City Marathon

by The Editor
September 1 2026
0

...

Gov. Mutfwang bans HISBA operations in Plateau

Gov. Mutfwang bans HISBA operations in Plateau

by The Editor
September 1 2026
0

...

Plugin Install : Widget Tab Post needs JNews - View Counter to be installed
  • Trending
  • Comments
  • Latest
‘Fake’ Agency: Adeyemi insists DG appointment genuine

Reps panel traces 58 bank accounts, 12 entities, 39 workers to fake PFIPC DG

September 2 2026
Ebonyi council chairmen who fail to deliver APC victory in 2027 will be removed – Gov. Nwifuru

Ebonyi council chairmen who fail to deliver APC victory in 2027 will be removed – Gov. Nwifuru

September 2 2026
2027: I’ll be Atiku, Obi’s first casualty if Tinubu loses — Wike

2027: I’ll be Atiku, Obi’s first casualty if Tinubu loses — Wike

September 2 2026
Lagos empowers 6,190 residents with free vocational, entrepreneurial skills

Lagos empowers 6,190 residents with free vocational, entrepreneurial skills

September 2 2026

EDITORIAL REVIEW

Interstate highways of agony, hollow excuses – Punch

Interstate highways of agony, hollow excuses – Punch

by The Editor
September 1 2026
0

Mass presence of governors in off-cycle elections – Punch

Mass presence of governors in off-cycle elections – Punch

by The Editor
August 27 2026
0

Clerics must preach peace, not division – Punch

Clerics must preach peace, not division – Punch

by The Editor
August 25 2026
0

Tax reform: Northern senators in closed-door meeting as bill scales second reading

Tax reform must end multiple taxation – Punch

by The Editor
August 24 2026
0

BREAKING: Kidnapped Oyo pupils, teachers regain freedom

Terror victims deserve care – Punch

by The Editor
August 21 2026
0

Opinion

 Akpakomiza and other stories

by The Editor
September 1 2026
0

...

‘Fake’ Agency: Adeyemi insists DG appointment genuine

Fake agencies: Why Nigeria still needs Oronsaye report

by The Editor
August 25 2026
0

...

How Adeleke danced back from the dead

How Adeleke danced back from the dead

by The Editor
August 19 2026
0

...

Adeleke’s win and the cost of winning at all costs

Adeleke’s win and the cost of winning at all costs

by The Editor
August 18 2026
0

...

Plugin Install : Popular Post Widget need JNews - View Counter to be installed
  • Home
  • Headlines
  • Latest News
  • Governance
  • Business
  • Financial Crimes
  • Opinion
  • Editorials

© 2026 TheCitizen Ng. All Rights Reserved.

No Result
View All Result
  • Home
  • Headlines
  • Latest News
  • Governance
  • Business
  • Financial Crimes
  • Opinion
  • Editorials

© 2026 TheCitizen Ng. All Rights Reserved.