Flybondi faces financial crisis and internal restructuring

Flybondi is undergoing a major internal reorganization and facing a severe financial crisis in Argentina. The low-cost airline has dismantled its physical service counters at Aeroparque Jorge Newbery, shifting operations to digital platforms amid significant operational instability.

The company is implementing a restructuring plan that includes transferring employees to a new entity, OCA Air S.A., linked to businessman Marcelo Scatturice. While the company aims to maintain essential functions through individual agreements to preserve seniority and labor conditions, aviation unions have expressed concerns regarding potential disguised outsourcing and have requested intervention from the Ministry of Labor.

Financially, the airline is under intense pressure. The judiciary has ordered an embargo on Flybondi’s bank accounts to settle tax debts exceeding 1,400 million pesos, following claims by the Agencia de Recaudación y Control Aduanero. This follows various private creditor filings for bankruptcy. Operationally, the airline saw a significant collapse in August, canceling 80.5% of its scheduled flights, contributing to a year-to-date cancellation rate of 22.8%.