• austriantimes.at
• croatiantimes.com
• romaniantimes.at
• salzburgtimes.at

Today

• Vienna - Unknown Underground
• Vienna - Childrens Fun
• Vienna - Childrens Fun
• Vienna - Palais Lichtenstein

© Austrian Airlines

23. 02. 12. - 18:00

• more Business news
• RSS Feed Business

23. 02. 12. - 18:00

AUA tickets to get more costly again

Austrian Airlines (AUA) has decided to jack up ticket prices – only two months after the most recent increase.

The struggling carrier, which suffered a loss of 65 million Euros in each of the past two years, said yesterday (Weds) its kerosene surcharge would increase as of next Tuesday (28 February). The airline explained that the charge for flights to destinations in the United States would soar by 12 Euros to 132 Euros while tickets for connections to the Middle East and airports in Europe would become four Euros more expensive.

AUA did not argue the decision but the step is seen as only the first of several measures as part of the planned cost reduction presented by new CEO Jaan Albrecht last month. The most recent AUA ticket price hike occurred last December. At that time, the carrier made aware of rising kerosene prices, new taxes on tickets in Austria and Germany, European carbon emission fees and a worsening of the economic environment.

AUA recorded 737,400 passengers last month, 7.1 per cent more than in January 2011. The Viennese carrier counted 11.26 million passengers between January and December 2011. This was an increase of 3.4 per cent compared to the previous year. Albrecht is nevertheless determined to keep checking where savings can be made. He said it was not acceptable that personnel costs had been unchanged for three years despite declining workforce levels.

Pilots threatened to organise strikes last week when the AUA board decided to cancel their contracts. AUA’s 2,100 pilots and cabin crew were not laid off but asked to accept working under new contracts which meant lower incomes. Reports have it that the AUA board wants pilots to work more for less in the coming years. Bosses of the carrier said the plan was to make staff’s contracts and agreements between employees and the board "more flexible".

Unionists were alarmed by the announcements but business newspapers recently reported that they decided to scrap plans for a strike in the near future and return to the negotiating table instead. Employees’ representatives said pilots, cabin crew and ground personnel had been seriously affected by several austerity measures in the past years. They warned from carrying out further cutbacks of the workforce level or salaries.

AUA was taken over by Lufthansa in September 2009 after talks with several other European airlines failed to lead to an agreement. The German carrier wants AUA to achieve profits from this year. Aviation experts think that Lufthansa is ready to reduce the number of AUA flights dramatically if the airline fails to manage a turnaround within 2012. A sale is not planned, according to sources close to the Lufthansa board but Austrian unionists criticise the rising pressure by Lufthansa bosses.

The agreement between Lufthansa and the Austrian Industry-Holding Stock Corporation (ÖIAG) about an acquisition was reached only after the Austrian government of Social Democrats (SPÖ) and People’s Party (ÖVP) decided to inject 500 million Euros into the ailing airline. The provision with fresh capital occurred shortly before the deal was finalised – and tempted FlyNiki founder Niki Lauda and other competitors of AUA and Lufthansa to complain about a possible breach of competition regulations.

Lauda also found harsh words for AUA’s decision to ask the Austrian Constitutional Court (VfGH) to investigate whether the Austrian traffic ministry was right to keep AUA from operating more often between Vienna International Airport (VIA or VIE) and Ben Gurion International Airport (TLV) in Tel Aviv, Israel. Lauda said this was an unprecedented step. He claimed it had never happened before that a carrier based in Austria filed a lawsuit against the federal traffic ministry.

The VfGH has not yet issued a verdict. The traffic ministry decided to reject AUA’s appeal to increase its activity between VIA and TLV by pointing out that the airline was already operating on the connection. Lauda claimed that AUA’s attempts to lower FlyNiki’s market share were doomed to fail because of the formerly state-owned carrier’s costly fleet and high personnel expenses.

Vienna Times

Related articles: EU

1. EC warns debt-ridden Austria

   » General News 2012-05-31

   Austria has been criticised for its high public debts.

2. AUA under pressure as pilots quit

   » Business 2012-05-30

   The number of pilots and stewardesses leaving Austrian Airlines (AUA) because of the upcoming pay cuts is on the rise.

3. Austrian skiers create overnight stay record

   » Business 2012-05-29

   The number of winter season overnight stays by Austrians has reached a new record.

4. Pecik defends TA engagement

   » Business 2012-05-24

   Telekom Austria (TA) investor Ronny Pecik has declared himself a team player.

5. FW turnover takes off

   » Business 2012-05-24

   Austria’s biggest airport has managed to increase its profit.

6. Küng tackles Schüller group

   » General News 2012-05-24

   Another top-tier representative of the Austrian Church has warned the Preachers’ Initiative from consequences.

7. AUA rules out Whitsun travel chaos

   » Business 2012-05-23

   The current conflict with the works committee does not negatively affect Austrian Airlines’ (AUA) booking figures, according to a spokesman.

8. Hollande's growth appeal 'nonsense', says Fekter

   » General News 2012-05-22

   Austrian People’s Party (ÖVP) Finance Minister Maria Fekter has launched an attack on the new French president.

9. Schönborn warns disobedient priests

   » General News 2012-05-18

   Viennese Archbishop Christoph Cardinal Schönborn is upping the pressure on Helmut Schüller’s Preachers’ Initiative.

10. Austrians concerned about EU unemployment

    » Business 2012-05-18

    Joblessness is what worries Austrians the most, a poll regarding European issues shows.

Related articles: crisis

1. EC warns debt-ridden Austria

   » General News 2012-05-31

   Austria has been criticised for its high public debts.

2. Property prices keep climbing

   » Business 2012-05-31

   A real estate expert has expressed concerns about property prices in Austria.

3. Graz coalition collapses

   » General News 2012-05-31

   People’s Party (ÖVP) Graz Mayor Siegfried Nagl has ended his faction’s partnership with the Greens.

4. FPÖ attacks Wrabetz

   » General News 2012-05-30

   ORF boss Alexander Wrabetz is under fire over his latest relocation calculations.

5. AUA under pressure as pilots quit

   » Business 2012-05-30

   The number of pilots and stewardesses leaving Austrian Airlines (AUA) because of the upcoming pay cuts is on the rise.

6. TV tax increase ahead

   » Business 2012-05-30

   TV consumers in Austria must pay higher taxes from Friday.

7. Pay cuts scare off AUA pilots

   » Business 2012-05-29

   Dozens of pilots have left Austrian Airlines (AUA) in the past weeks, according to the loss-making carrier’s works committee.

8. Brauner discloses austerity course details

   » General News 2012-05-29

   Viennese Social Democratic (SPÖ) Finance Councillor Renate Brauner has revealed how the city government plans to save one billion Euros within the next five years.

9. Austrian skiers create overnight stay record

   » Business 2012-05-29

   The number of winter season overnight stays by Austrians has reached a new record.

10. Government's subsidisation reform suffers setback

    » General News 2012-05-29

    The government has failed to reach an agreement with the coalition concerning a reform of Austria’s party subsidisation system.

Related articles: CEE news

1. AUA under pressure as pilots quit

   » Business 2012-05-30

   The number of pilots and stewardesses leaving Austrian Airlines (AUA) because of the upcoming pay cuts is on the rise.

2. Pay cuts scare off AUA pilots

   » Business 2012-05-29

   Dozens of pilots have left Austrian Airlines (AUA) in the past weeks, according to the loss-making carrier’s works committee.

3. Austrian skiers create overnight stay record

   » Business 2012-05-29

   The number of winter season overnight stays by Austrians has reached a new record.

4. Pecik defends TA engagement

   » Business 2012-05-24

   Telekom Austria (TA) investor Ronny Pecik has declared himself a team player.

5. FW turnover takes off

   » Business 2012-05-24

   Austria’s biggest airport has managed to increase its profit.

6. Küng tackles Schüller group

   » General News 2012-05-24

   Another top-tier representative of the Austrian Church has warned the Preachers’ Initiative from consequences.

7. AUA rules out Whitsun travel chaos

   » Business 2012-05-23

   The current conflict with the works committee does not negatively affect Austrian Airlines’ (AUA) booking figures, according to a spokesman.

8. Austrians concerned about EU unemployment

   » Business 2012-05-18

   Joblessness is what worries Austrians the most, a poll regarding European issues shows.

9. Petrol traders plan legal action

   » Business 2012-05-17

   The domestic mineral oil industry plans to sue the government about plans to set up a tool regulating fuel prices.

10. Sickness surge causes AUA cancellations

    » Business 2012-05-15

    Passengers are finally feeling the full impact of the emerging labour conflict at Austrian Airlines (AUA).

Related articles: AUA

1. AUA under pressure as pilots quit

   » Business 2012-05-30

   The number of pilots and stewardesses leaving Austrian Airlines (AUA) because of the upcoming pay cuts is on the rise.

2. Pay cuts scare off AUA pilots

   » Business 2012-05-29

   Dozens of pilots have left Austrian Airlines (AUA) in the past weeks, according to the loss-making carrier’s works committee.

3. FW turnover takes off

   » Business 2012-05-24

   Austria’s biggest airport has managed to increase its profit.

4. AUA rules out Whitsun travel chaos

   » Business 2012-05-23

   The current conflict with the works committee does not negatively affect Austrian Airlines’ (AUA) booking figures, according to a spokesman.

5. Sickness surge causes AUA cancellations

   » Business 2012-05-15

   Passengers are finally feeling the full impact of the emerging labour conflict at Austrian Airlines (AUA).

6. AUA shrugs off flight chaos concerns

   » Business 2012-05-11

   Austrian Airlines (AUA) is determined to cover possible staff shortages.

7. Makeover for VIA terminals

   » Business 2012-04-25

   The terminals of Vienna International Airport (VIA or VIE) will be renovated or rebuilt, according to Flughafen Wien AG (FW).

8. AUA accord possible despite contract reform

   » Business 2012-04-24

   Austrian Airlines (AUA) chiefs and works committee officials are fighting for a consensual solution regarding the planned austerity measures.

9. Franz warns AUA

   » Business 2012-04-19

   Lufthansa CEO Christoph Franz has made clear that affiliate Austria Airlines (AUA) has to cut its expenses.

10. Emirates request rejected

    » Business 2012-03-23

    The Austrian infrastructure ministry has dismissed Emirates’ appeal for increased landing rights.

Key for Two at Viennas English Theatre [Review]
Key for Two at Vienna’s English Theatre is a quintessentially British comedy. The play by John Chapman and Dave Freeman has to be one of the funniest and timeless shows about in the Austrian capital.

Jackson Fans Get Memorial To Hero
A statue to Michael Jackson has gone on display in the middle of a tiny Austrian town so that fans can have a tribute to their hero.

New baby wolves born in the Schönbrunn zoo
Five wolf cubs are the latest addition to the Schönbrunn zoo in Vienna this spring.

Berrys Fake Agents 150k Con
Eccentric celebrity-mad multi-millionaire Richard Lugner was conned out of 150,000 GBP by fraudster claiming to be Halle Berry's manager, a court has heard.

No smoking in bars does not work finds new study
A new study of the Medical University of Vienna shows that separated rooms in gastronomy are not effective in regards to smoking. The Institute of Environmental Hygiene measured the effect of ultrafine dust particles on the health of non-smokers in 134 bars and restaurants in Vienna.

Raiffeisen boss has to pay crash costs himself
Erwin Hameseder, head of the Raiffeisen-Holding Lower Austria-Vienna will have to pay himself for the damage of the car accident he caused with his Porsche 911 on 3 April. An expert report stated that there was a cause and effect relationship between tyres and the accident.

Mass picnic to protest against ban on sitting on the lawns
Visitors of the Augarten park in Vienna were driven off green areas as the Federal Parks and Gardens Authority have started to control the observance of park rules. This has caused a debate.

Row over slow pace of Schwedenplatz redevelopment
The planned redevelopment of Schwedenplatz and Morzinplatz in Vienna has caused troubles. Head of the district Ursula Stenzel (ÖVP) thinks that the planning phase is taking too long. Planning Chief Maria Vassilakou rejects the accusations.

Fire show at medieval village in the Bohemian Prater
The Bohemian Prater in Vienna Favoriten will turn into a medieval village, once again. Visitors will be able to experience dances of witches, show fights, fire breathers and a torture show.

Schools in Vienna discuss possible phone ban
Several schools in Vienna are currently considering whether they can ban mobile phones. Phones often disturb the lessons and students also use their smartphones in the breaks. The school board of the city opposes a complete ban.