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Korean Air chief calls on workforce to be safety-conscious following Asiana merger

Published: 16 Dec. 2024, 16:35 Updated: 16 Dec. 2024, 16:59

CHO YONG-JUN
[email protected]

Hanjin Group Chairman and CEO Walter Cho during the 55th-anniversary ceremony of Korean Air in March 2024 [NEWS1]

Hanjin Group Chairman and CEO Walter Cho emphasized the safety of Korean Air and Asiana Airlines as the four-year-long merger saga between the two full-service carriers comes to a close.

“Safety remains our cornerstone and is non-negotiable," the chairman wrote in a statement uploaded to the company’s internal website on Monday. "I trust each of you to uphold the exemplary safety standards that have long defined our airlines.”

Korean Air finalized the four-year-long takeover of Asiana by acquiring 131.6 million shares, or a 63.9 percent stake, in Korea’s other full-service carrier on Thursday. Asiana is set to operate as a Korean Air subsidiary for the next two years before merging into one mega carrier by 2026.

“While we will operate separately for a short period, our organizations are already unified in purpose," Cho said.

The Hanjin chairman also instructed the employees to prepare for “changes ahead [that] will unfold rapidly and require quick adaptation.”

One of Korean Air’s challenges lies in the integration of customer miles, as they have to merge Asiana’s mileage program — which is typically valued lower than Korean Air miles — while also adhering to the Fair Trade Commission’s acquisition condition of not harming consumers in the process.

The airline also had to retract its plans to charge additional fees for preferred economy seats on its domestic flights on Dec. 12, a day before the planned implementation date, as the airline received backlash from customers.

“I have complete confidence in our future success,” he said, applauding the expertise, capabilities and knowledge of the companies' employees.

BY CHO YONG-JUN [[email protected]]