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Home » Mexicana » Mexicana Files for Bankruptcy
MexicanaNews

Mexicana Files for Bankruptcy

Matthew Klint Posted onAugust 4, 2010December 13, 2016 Leave a Comment

Mexicana has filed for bankruptcy in the United States and Mexico, suspending a number of flights and positioning the troubled airline to cut labor prices as they attempt to remain competitive.

Mexicana has put most of the blame for its financial crisis on pilot and flight attendant salaries, which the airline says are up to 185% higher than the pay of their counterparts at Mexican airlines like Volaris or Interjet.

The airline has been calling for new contracts that would cut wages for pilots by 41% and impose a 39% wage cut for flight attendants. Mexicana also proposed reducing its overall workforce of pilots and attendants by 40%.

Mexicana also blames the H1N1 flu virus, that wreaked havoc on the Mexican tourist industry, for its move into Chapter 11.
 
Unions are up in arms, vowing a bitter fight, but there is no question they will be looking at large paycuts in the weeks to come.
 
Passengers affected by the 31 flight cancellations today or future cancellations (MX is immediately reducing its schedule from many U.S. airports) will be accommodated on other airlines or receive a refund.

Mexican’s low-cost subsidiaries, Click and Link, will continue to operate without interruption.

I never like to see cuts in wages, but I have little pity for Mexican’s lackluster cabin crews. My trip to Bogota on MX last fall details why I have come to this conclusion.

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About Author

Matthew Klint

Matthew is an avid traveler who calls Los Angeles home. Each year he travels more than 200,000 miles by air and has visited more than 135 countries. Working both in the aviation industry and as a travel consultant, Matthew has been featured in major media outlets around the world and uses his Live and Let's Fly blog to share the latest news in the airline industry, commentary on frequent flyer programs, and detailed reports of his worldwide travel.

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