Editorial | Hong Kong’s Cathay must address hopes on lower fares and improved service
- Return to profit by city airline is welcome, but addition of routes, increased flight frequency and friendlier prices rest on more planes and workers
Signs that Hong Kong’s aviation sector is taking off after years of pandemic headwinds emerged this week. While the positive recovery witnessed by the city’s flagship carrier and cargo handlers is to be welcomed, operators must address concerns about staffing and customer service so the industry may maintain its trajectory.
Cathay Pacific Airways reported its first profit in four years on Wednesday. Group chairman Patrick Healy said the company had “finally left the Covid-19 pandemic behind”, with net profit of HK$9.78 billion (US$1.25 billion) in 2023 after a net loss of HK$6.2 billion the previous year.
Chief executive Ronald Lam Siu-por said Cathay had allowed employees to share profits, but Hongkongers were right to ask when they could expect to see recovery dividends in the form of lower ticket prices and greater flight capacity.
As the city tries to reinvigorate its economy by attracting visitors, more direct routes to and from Hong Kong and frequent flights at affordable fares may be a win-win solution. Cathay aims to return to 80 per cent of its pre-pandemic passenger flight capacity by July.
It is also time for the carrier to indicate when it will repay taxpayer funds that helped it through the Covid crisis.