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Air Canada to Offer Cheap Flights Through Budget Branch?

Air Canada is aiming to regain market share it has lost over the years and to deal with the overhead with which they are struggling.  In order to do this, they are toying with the idea of creating a budget branch to their airline, a branch that would offer cheap flights.  There have been many reasons for Air Canada pulling out of the second quarter at a loss, including strikes, fewer bookings, and issues with maintenance contracts.

 

With the budget branch of the airline, Air Canada plans to pay the pilots less than they pay their regular carrier pilots in order to subsidize the low cost of the tickets.  This is a controversial move.  The also plan to serve only some international routes, including the sun destinations in the US and some destinations in the Caribbean and Europe.  At this point, they do not plan to operate domestic cheap flights.  The timing of the operation of the budget carrier depends on the delivery of larger aircraft for the regular carrier.

 

The above article is a summary.  Please see the source article at Google News.

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