"Extremely misleading picture": Flair refutes reports of slashing 600 flights due to cost-cutting measures
Flair Airlines is refuting claims that it slashed hundreds of flights from its spring schedule as a cost-cutting move.
A report from the Globe and Mail published on Friday stated that the low-cost carrier reduced its spring schedule by 600 flights to make “cost-saving cuts to its domestic network” despite adding flights to sun destinations.
The report stated that several flights departing from major hubs like Toronto, Ottawa, Calgary and Edmonton were removed from its schedule between March and May. However, flights to holiday destinations like Florida, Las Vegas and Mexico were added.
The Globe and Mail noted that Flair’s flight changes have come while the company has been dealing with several financial issues.
In January, it was revealed that Flair owed $67.2 million in unpaid taxes connected to import duties on 20 Boeing 737 planes that are part of its fleet.
In a previous interview, the company’s CEO, Stephen Jones, told Daily Hive that the airline agreed with the CRA to pay back the money “on a fixed series of monthly payments.”
Soon after, rumours swirled that Flair was going to take over Lynx, another low-cost Canadian carrier.
But a few days later, on February 22, Lynx Air announced it had filed for creditor protection and would be shutting down for good.
Most recently, Flair took legal action against financial firm Peoples Trust for allegedly withholding $25 million in funds.
Flair said it was now using another payment processing system to avoid disruptions to travellers.
In a statement to Daily Hive, Flair said the Globe and Mail’s report was “factually incorrect and painted an extremely misleading picture.”
A company spokesperson said that Flair has finalized its flight schedule from March to May “well in advance, with no substantial changes since August 1st, 2023.”
“The adjustments were not made in response to recent events, such as the cessation of operations by Lynx Air,” stated the spokesperson.
Flair acknowledged that there have been year-over-year (YoY) reductions in the number of its flights but said its “Available Seat Miles” (a metric that measures the capacity of an airline) increased by 4% YoY.
The airline said several factors influenced flight adjustments, the first being customer demand.
“Last year, we observed significant demand for flights to sun destinations, prompting us to allocate more resources towards routes to Mexico and the Caribbean this year compared to the previous spring,” stated Flair.
Secondly, cost considerations mean “flights with longer stage lengths are less affected by the considerable airport costs in Canada, influencing our decision-making regarding route selection.”
Lastly, Flair cited market dynamics, stating that “the domestic market experienced an excess of capacity when we formulated this schedule, although this dynamic has shifted somewhat in recent months.”
The company told Daily Hive that these factors have all “yielded notable outcomes” for the airline.
“For March through May, we anticipate an improvement of over 50% in our average base fare, excluding the significant progress we’ve made in ancillary revenue generation,” it said, adding that its increased sun destination flights over the March to May period were a “strategic” focus.
“The longer average flight lengths in the spring season has naturally led to higher average fares — again this is basic airline economics.”
Despite Flair’s springtime flight increase to sun destinations, some customers haven’t had a smooth experience.
Two of the airline’s flights experienced delays of nearly 48 hours this week, leaving Canadian customers scrambling and frustrated at the Cancun airport.
This has led the compliance and enforcement arm of Canada’s transportation regulator to question the airline over the delays.
In a follow-up media statement sent to Daily Hive, Jones reiterated that there had been no flight adjustments made following the closure of Lynx Air.
“Flair is here to stay, defying the odds, challenging industry norms, and advocating for fair competition and affordable travel,” the CEO said.
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