Employees of Israel’s second-largest airline have taken to the streets of Tel Aviv, angered by the airline’s decision to turn down a potential government lifeline.
Since the outset of the crisis, Arkia has grounded its fleet and placed the bulk of its workforce on unpaid leave; current figures show 540 employees remain stood down. In recent weeks, local media has reported that Arkia’s ownership rejected a state-backed loan for US$38 million, which would have positioned it to restart operations in the months to come.
Accordingly, comments from chairman Avi Homero’s that the airline will not return to flying until March or April 2021 also contributed to outcry from furloughed workers. By contrast, flag carrier El Al is working towards a September restart.
“How is it possible that other Israeli airlines are already in operation but we are still grounded with most of our workers kept on unpaid leave?” said Arkia’s National Workers’ Committee chairperson, Aliza Balaish, in a statement to media.
“Arkia is our home,” she added. “For the past 70 years, we have been operating flights to and from Israel. Now, under the pretext of COVID-19, the owners, the Nakash brothers, have decided to shut us down. The Nakash family is drying up Arkia on purpose.”
Arkia is jointly owned by workers (30 per cent ownership) and Jordache Enterprises – headed up by the Nakash brothers.
Much of the outcry has been directed towards the brothers, with protests taking place at their Setai Hotel in Tel Aviv’s south.
