Brent Pinheiro
Tobago House of Assembly Chief Secretary Farley Augustine is pushing back against suggestions that Caribbean Airlines (CAL) should be shutdown or sold, arguing that the airline’s economic value to the country far outweighs its financial challenges.
“For us, CAL is a public transportation service and the economic benefits far outweighs balancing the finances,” Augustine said.
His comments come after an exclusive Sunday Guardian report revealed there is a division of opinion on the airline’s board about its viability, with chairman Reyna Kowlessar advocating for further State support while at least two directors favour closure or sale. There is also a recommendation for the removal of the airbridge subsidy and cutting on unprofitable routes.
Augustine said the focus should instead be on expanding the airline’s role in driving tourism and connectivity, pointing to Copa Airlines’ model.
“What needs to happen is that CAL should be to Trinidad and Tobago what COPA is to Panama. We should be subsidising CAL into making our two major airports a serious hub between the Caribbean and the rest of the world, connecting new tourism source markets to the country,” he said.
He also questioned the country’s ability to convert infrastructure into visitor arrivals.
“Don’t you find it strange that we now have two terminals (the new ANR International included), that is significantly larger than the average terminal in the Caribbean, yet we bring significantly less international visitors than these smaller terminals?” he asked.
“I don’t wish to rant, but as a country we have historically been unserious about tourism and the economic potentials of the travel industry.”
The Aviation Communication and Allied Workers Union (ACAWU) also weighed in yesterday, calling for urgent discussions with CAL’s leadership amid reports of possible additional State support. It also warned against repeating past decisions without public consensus, saying, “Not another Petrotrin.”
The union said it recognises the pressures facing the airline, including volatile fuel costs and the need for a sustainable business model, while commending the Government, board and management for treating the issue seriously.
Describing the airline as critical infrastructure, the union said, “Caribbean Airlines is more than a company; it is a vital link for Trinidad and Tobago and the wider region; it is as essential as the roadways.”
ACAWU represents about 70 per cent of the airline’s workforce but is not the officially recognised majority union according to CAL. However, the group said it is seeking transparency, meaningful engagement and a sustainable plan that protects jobs while securing the airline’s future.
“The decisions made in the coming weeks will shape the country’s future for decades to come… We cannot afford to make another irreversible decision without national consensus.”
CAL, meanwhile, sought to calm speculation, insisting there are no plans to shut down the carrier.
“The airline’s board of directors categorically rejects any rumours suggesting that Caribbean Airlines is facing closure. There has been no discussion regarding the closure of the airline.”
However, the company said it is actively reviewing its business to improve stability and sustainability.
“These efforts are focused on ensuring the delivery of reliable service and maintaining strong connectivity across the airline’s network.”
It said work on audited financial statements is underway, and recruitment for key senior management positions is progressing to strengthen leadership and long-term strategy.
CAL continues to face rising jet fuel prices amidst the US/Israel war in Iran. It is also battling unprofitable routes, including the domestic airbridge.
