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Civil Aviation

On-Time Flights Remain a Struggle for Australia’s Airlines, Govt Report Reveals

Aviation Today News Desk September 19, 2025

Canberra, Australia: Recent data from the Australian Bureau of Transport Research and Economics (BITRE) has shed light on the punctuality of

Bangkok, Thailand: Thai Airways International is preparing to retire its First Class service within the next two to three years, opting instead to invest in an upgraded Business Class as part of a sweeping fleet and product modernization plan. The national carrier’s Chief Executive Officer, Chai Eamsiri, confirmed the decision during a recent briefing, framing it as a move toward long-term efficiency and competitiveness. “We plan to eliminate First Class and replace it with enhanced Business Class cabins. It is part of our strategic plan to improve our product consistency and align with passenger demand,” he said. At present, Thai Airways operates a mixed product that includes Economy, Premium Economy, Business (“Royal Silk”), and First Class (“Royal First”) on select Boeing 777-300ER aircraft. The airline intends to streamline this into a three-class offering: Economy, Premium Economy, and an elevated Business Class. The airline will gradually refurbish its wide-body fleet, particularly the Boeing 777-300ERs, to remove First Class suites and replace them with a next-generation Business product. This new “Business Plus” concept is expected to include more spacious seating in the front row, enhanced privacy potentially with doors and upgraded amenities. While First Class is being phased out, Thai Airways aims to bridge the gap by enriching its Business Class service.The airline has already begun introducing premium amenities into Business, including caviar service on select routes. This aligns with a wider industry trend in which airlines consolidate luxury offerings into an expanded Business Class product rather than maintaining costly, limited-use First Class cabins. Passenger demand also played a decisive role.The modern Business Class products now rival traditional First Class in terms of comfort and privacy, making the higher-cost cabin less attractive and less financially sustainable for carriers. Thai Airways’ shift is also tied to its broader fleet renewal strategy. New aircraft on order, such as Boeing 787-9 Dreamliners, will be delivered without First Class cabins. The carrier is also retrofitting its existing fleet to ensure product consistency. Maintaining First Class across just a handful of aircraft and routes such as Bangkok to London and Tokyo has become impractical. Rationalizing the fleet is expected to lower operating costs and simplify scheduling.

Thai Airways CEO Confirms End of First Class, Focus Shifts to Upgraded Business Class

Aviation Today News Desk September 18, 2025

Bangkok, Thailand: Thai Airways International is preparing to retire its First Class service within the next two to three years, opting

Abu Dhabi, United Arab Emirates: Etihad Airways has marked a historic milestone by flying more than 2 million passengers in August 2025, the highest monthly total in the airline’s history. The record underlines the flag carrier’s strong recovery and growth trajectory as demand for air travel in the Gulf region continues to surge. The airline reported a 22 percent year-on-year increase in passenger numbers compared to August 2024. Its load factor reached 91%, up from 89% in the same period last year, reflecting higher seat occupancy across its network. Between January and August 2025, Etihad carried 14.2 million travellers, an 18 percent rise from the same period in 2024. The average load factor for the year so far has remained strong at 88%, positioning the airline among the most efficient operators in the Middle East. Etihad currently operates a fleet of 112 aircraft, a mix of wide-body and narrow-body jets serving global destinations. In August, the carrier added a new Airbus A321LR to its operations. This long-range narrow-body aircraft is equipped with wide-body-style premium cabins, aligning with Etihad’s strategy to improve comfort while maintaining operational flexibility. The new addition reflects the airline’s focus on sustainability and efficiency, offering the ability to serve medium-haul markets while preserving the premium service standards for which the carrier is known. Chief Executive Officer Antonoaldo Neves hailed the achievement as a defining moment in the airline’s history. He credited the milestone to passenger confidence, operational reliability, and the dedication of Etihad’s workforce. Neves emphasized that the record numbers signal not just growth, but also trust from global travellers choosing Etihad for both regional and long-haul journeys. Etihad’s breakthrough comes at a time when Gulf airlines are expanding aggressively to capture rising travel demand between Asia, Europe, and North America.

Etihad Airways Surpasses 2M Monthly Passengers for the First Time In It’s History

Aviation Today News Desk September 17, 2025

Abu Dhabi, United Arab Emirates: Etihad Airways has marked a historic milestone by flying more than 2 million passengers in August

New Delhi, India: Indian airports may soon face financial penalties for service lapses such as baggage delays, long queues, and unhygienic toilets. The Airports Economic Regulatory Authority (AERA) has issued a consultation paper proposing to link airport tariffs including user development fees (UDF) with measurable service quality standards. The draft framework applies to airports handling more than 3.5 million passengers annually. It sets benchmarks for maximum wait times at terminal entry points, check-in counters, security screening, immigration desks, and baggage belts. Failure to meet these standards could result in reduced tariffs, while airports exceeding them may receive incentives. AERA’s proposal also focuses on the upkeep of basic passenger facilities, including clean washrooms, seating, and trolleys. Adoption of technology, such as Digi Yatra and immigration e-gates, is part of the criteria aimed at improving efficiency and passenger experience. “Introducing a structured service quality framework will ensure passengers receive consistent and improved service levels across major airports,” AERA said in the consultation paper. Independent third-party audits will be carried out to verify compliance, and performance data will be published to maintain transparency. Airports handling over six million passengers annually will be placed in a separate category, recognizing their higher traffic volumes and operational complexity. AERA has invited comments from stakeholders, including airlines and passenger groups, until September 24, 2025.

AERA Proposes Baggage Delays, Dirty Toilets May Soon Cost Airports in Fee Reductions

Aviation Today News Desk September 17, 2025

New Delhi, India: Indian airports may soon face financial penalties for service lapses such as baggage delays, long queues, and unhygienic

Amsterdam, Netherlands: Dutch flag carrier KLM will cancel dozens of flights on Wednesday, September 17, as ground staff at Amsterdam’s Schiphol Airport prepare for a four-hour strike. The work stoppage, announced by trade unions FNV and CNV, will take place between 08:00 and 12:00 local time (CEST) and is expected to cause significant disruption to operations at one of Europe’s busiest hubs. The strike affects employees responsible for critical ground operations such as baggage handling, towing aircraft, and assisting passengers. Schiphol Airport has warned travelers to brace for delays, cancellations, or changes to their flights, advising passengers to closely monitor flight status before heading to the airport. KLM confirmed that it has already cancelled dozens of flights ahead of the strike to limit the scale of disruption. According to a report in NL Times, the airline has proactively adjusted its schedule after a similar action last week, when a two-hour strike led to the cancellation of over 100 flights and affected nearly 27,000 passengers. Unions representing the workers say the industrial action stems from disputes over wages, workload, and job classifications. They argue that ground staff perform heavy physical tasks but receive lower pay compared to other airport roles. “These workers keep Schiphol running under difficult conditions, yet they are not fairly rewarded,” union representatives stated. The strike is part of a broader wave of labor unrest at European airports, as aviation workers push for higher wages amid rising operational costs and inflationary pressures. With Schiphol serving as a major intercontinental hub, the disruption is expected to ripple across connecting flights throughout Europe, Asia, and North America. Passengers flying on or around September 17 are strongly advised to check their flight status directly with KLM or via Schiphol’s website and consider flexible travel arrangements where possible.

KLM to Cancel Dozens of Flights Due to Schiphol Ground Staff Strike Over Pay

Aviation Today News Desk September 16, 2025

Amsterdam, Netherlands: Dutch flag carrier KLM will cancel dozens of flights on Wednesday, September 17, as ground staff at Amsterdam’s Schiphol

New Delhi, India: SpiceJet, one of India’s leading low-cost carriers, has once again delayed salary payments for a significant portion of its workforce, According to the report by PTI senior employees who are earning above ₹55,000 per month are affected. While junior staff reportedly received their August salaries on time, senior employees, including Assistant Managers and above, are facing delays of up to 15 days, according to company sources. The airline has cited a “phased disbursement schedule” as the reason for the delay, stating that payments for higher-earning employees are staggered during lean periods. The delays affect a substantial number of employees, with the airline employing 6,484 staff, of whom 4,894 are permanent employees. Reports suggest that the salary delays predominantly impact employees in managerial and senior technical roles. These delays come at a time when the airline is navigating financial pressures, including a net loss of ₹238 crore reported in the June quarter of 2025. During 2024-25, SpiceJet provided an interest-free advance to Ajay Singh, who is the Chairman and Managing Director, an amount of Rs 32 crore for a five-year period in accordance with the Nomination and Remuneration Committee and board-approved policy of the company, as per the annual report. "The company has adjusted the advance from the salary of subsequent months (April and May 2025), as per the company's policy. Further, this advance is not prejudicial to the interest of the company," the report said. The Airline said that losses are mainly due to costs linked to several grounded aircrafts and expenses for bringing them back into service. It has only 21 aircraft operational out of 56 and 35 grounded. Employees impacted by the delayed payments have expressed concerns over financial planning, especially as the delayed salaries coincide with ongoing personal and household obligations. While junior employees received their payments on schedule, the staggered payments for senior staff have raised questions about employee morale and retention. Last September, the airline raised ₹3,000 crore through a Qualified Institutional Placement (QIP), with plans to use the funds to operationalize grounded aircraft, purchase new planes, invest in technology, and enter new markets. Despite these intentions, progress has been slow, and a substantial number of aircraft remain grounded.

SpiceJet Delays Senior Staff Salaries Amid Financial Strain and Operational Challenges

Aviation Today News Desk September 16, 2025

New Delhi, India: SpiceJet, one of India’s leading low-cost carriers, has once again delayed salary payments for a significant portion of

Spain, Europe: Ryanair has announced plans to reduce an additional 1 million seats from its Spanish flight schedule for the summer of 2026, citing increased airport charges as the primary reason for the cuts. This move comes after previous reductions totaling 2 million seats across the summer 2025 and upcoming winter season, affecting mainly regional airports and destinations in the Canary Islands. The airline’s CEO, Michael O’Leary, criticized Spanish airport operator Aena’s decision to raise passenger charges by 6.5% starting March 2026. O’Leary warned that if regional Spanish airport costs remain high, Ryanair may redirect flights to alternative destinations such as Italy, Morocco, Croatia, and Albania, where operational costs are lower. O’Leary emphasized that the airline’s operational strategy prioritizes profitability and cost efficiency, and high airport fees could make certain Spanish routes financially unviable. “We will continue to operate in markets where costs are reasonable. If charges remain high, we will adjust our schedule accordingly,” he said. The Spanish government and Aena have publicly criticized Ryanair’s stance, labeling the airline’s threat of seat reductions as an attempt at “blackmail” and “extortion.” Aena defended the fee increases as necessary for maintaining airport infrastructure and service quality. Officials stressed that these fees are essential to support the growing passenger traffic and investments at regional airports. Ryanair's actions could impact tourism in the affected regions, with potential implications for regional economies dependent on international and domestic travel. Passengers are advised to monitor airline schedules closely and consider alternative carriers for summer 2026 travel.

Ryanair to Slash 1 Million Seats from Spain Flights Next Summer Over Fee Hike

Aviation Today News Desk September 15, 2025

Spain, Europe: Ryanair has announced plans to reduce an additional 1 million seats from its Spanish flight schedule for the summer

London, United Kingdom: The UK aviation industry has reached new heights, with a record 81 million passengers traveling through its airports between April and June 2025, according to the latest report from the Civil Aviation Authority (CAA). This marks the highest quarterly passenger total on record, surpassing pre-pandemic levels and contributing to a total of 141 million travelers in the first half of the year, a 3% increase compared to the same period in 2024. The surge in passenger numbers is attributed to a combination of factors, including pent-up demand for travel, increased consumer confidence, and the easing of global travel restrictions. Europe remained the most popular international region for UK travelers, with destinations such as Dublin, Amsterdam, Palma de Mallorca, and Alicante seeing significant traffic. Notably, airports in the north of England, including Liverpool, Manchester, Newcastle, and Leeds Bradford, collectively welcomed nearly 750,000 additional passengers, highlighting the regional strength of the aviation sector. In addition to the record passenger numbers, the industry has demonstrated notable improvements in operational efficiency. Flight punctuality has seen a significant boost, with 75% of flights departing on time a marked increase of 8 percentage points compared to the same period in 2024. April was particularly strong, with 82% of flights departing as scheduled. Cargo operations have also rebounded, with nearly 700,000 tonnes of goods handled at UK airports between April and June. This represents a 6% year-on-year increase, surpassing pre-pandemic volumes. Key international cargo routes included Dubai, New York, Doha, and Leipzig, with notable growth in deliveries to Asian markets, including a 61% increase to Delhi and a 41% rise to Mumbai. Looking ahead, the CAA anticipates continued growth during the peak summer travel season, with expectations for another record-breaking quarter. The positive trends underscore the resilience of the UK aviation sector and its critical role in supporting economic recovery and connectivity. As the industry continues to evolve, stakeholders remain focused on sustaining growth while enhancing service standards and operational efficiency to meet the demands of an increasingly dynamic global travel landscape.

UK Aviation Hits Record 81 Million Passengers in Spring 2025 Amid Strong Growth

Aviation Today News Desk September 11, 2025

London, United Kingdom: The UK aviation industry has reached new heights, with a record 81 million passengers traveling through its airports

New Delhi, India: The GST Council on September 3, 2025, announced a revised two-tier GST structure, set to come into effect from September 22, 2025, impacting air travel and luxury services. Under the new system, most goods and services will attract either 5% or 18% GST, while select luxury and “sin” items will be taxed at 40%. For air travel, the changes are as follows: Economy class tickets: Continue at 5% GST, unchanged from previous rates. Premium economy, business, and first-class tickets: Previously taxed at 12% GST, these fares will now attract 18% GST, increasing the cost for premium travelers. For example, a business class ticket booked on September 4, 2025, for travel on September 24, 2025, will attract the old 12% GST, while the same ticket booked on or after September 23, 2025, will incur the new 18% GST. The Finance Ministry clarified under Section 14(a)(i) of the CGST Act, 2017, that GST liability is determined by the time of supply: If goods or services are supplied before the rate change but invoiced afterward, GST depends on the time of supply. Payment after the rate change: time of supply is the earlier of the invoice date or payment receipt date. Payment before the rate change: time of supply is the payment receipt date. The GST on private jets, helicopters, yachts, and pleasure vessels has increased from an effective 31% (28% GST + 3% cess) to a flat 40% GST, eliminating the cess and raising costs for high-end travelers and operators. According to PTI, The International Air Transport Association (IATA) expressed disappointment over the increase in GST on non-economy travel. “Aviation has significant potential to boost India’s economy, both through airline growth and improved connectivity. It is therefore disappointing to increase GST on non-economy travel without clear justification,” said Sheldon Hee, IATA’s Asia Pacific regional vice-president. He added that the tax on premium travel has more than doubled since 2017 and warned that such increases could dampen demand and affect airline profitability, especially since premium travelers often determine a route’s viability. Airlines are expected to pass on the higher GST to passengers, making premium tickets more expensive. Meanwhile, economy travelers benefit from stable fares, with GST unchanged at 5%. The revised structure aims to simplify taxation while ensuring that revenue from luxury and non-essential services contributes to public finances.

IATA Criticises GST Hike on Premium Flights, Warns of Impact on Airline Viability

Aviation Today News Desk September 8, 2025

New Delhi, India: The GST Council on September 3, 2025, announced a revised two-tier GST structure, set to come into effect

New Delhi, India: A new report by Knight Frank, forecasts a remarkable rise of almost 50% in India’s annual air passenger traffic over the next five years. Passenger numbers are projected to escalate from 412 million in FY25 to 600 million by FY30. According to the report, this substantial jump will drive a sharp increase in aeronautical revenues, driven by both higher passenger counts and enhanced spending per traveler. A major highlight of the analysis involves non-aeronautical revenue streams which include retail, food and beverage, duty-free shopping, parking, advertising, and real estate leasing. Airports operating under the public–private partnership (PPP) model are pivotal: while they handle 64% of India’s total air traffic, they generate a dominant 87% of the nation’s non-aero revenue. The report also spotlights the performance of India’s busiest airports, Mumbai Airport earns approximately USD 20.1 per passenger from non-aero sources. Delhi Airport closely trails with about USD 18.1 per passenger. These numbers are impressively close to global aviation giants like London Heathrow (USD 21.6) and Tokyo Haneda (USD 19.9). Knight Frank's analysis emphasizes that India’s airports are now at a strategic crossroads. With passenger volumes expected to soar to 600 million by FY30, financial sustainability will increasingly depend on diverse revenue models. The report urges airport developers and operators to move beyond traditional infrastructure approaches and adopt the concept of aerocities integrated commercial hubs encompassing retail, hospitality, leasing, and other services turning airports into urban growth engines, not just transit points. The projected surge in air travel offers both significant opportunities and challenges. Operators must balance capacity expansion with revenue diversification to ensure long-term resilience as passenger numbers climb.

India’s Air Passenger Traffic Expected to Reach 600M Annually by FY30, Says Report

Aviation Today News Desk September 5, 2025

New Delhi, India: A new report by Knight Frank, forecasts a remarkable rise of almost 50% in India’s annual air passenger

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Civil Aviation

On-Time Flights Remain a Struggle for Australia’s Airlines, Govt Report Reveals

Thai Airways CEO Confirms End of First Class, Focus Shifts to Upgraded Business Class

Etihad Airways Surpasses 2M Monthly Passengers for the First Time In It’s History

AERA Proposes Baggage Delays, Dirty Toilets May Soon Cost Airports in Fee Reductions

SpiceJet Delays Senior Staff Salaries Amid Financial Strain and Operational Challenges

Ryanair to Slash 1 Million Seats from Spain Flights Next Summer Over Fee Hike

UK Aviation Hits Record 81 Million Passengers in Spring 2025 Amid Strong Growth

IATA Criticises GST Hike on Premium Flights, Warns of Impact on Airline Viability

India’s Air Passenger Traffic Expected to Reach 600M Annually by FY30, Says Report

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