Established in
\n1954 and subordinated to the Ministry of Transports, the Romanian National Air
\nTransport Company TAROM aims to become the biggest airline on the local market.
\nThis is an ambitious plan given that 2017 was not very good for TAROM. In fact,
\nthe company had seen considerable losses for the previous ten years. Last year
\nalone, for example, losses stood at 42 million euros. Oversized staff, planes
\nwith technical problems, the elimination of a number of flights and the
\nretirement of two of its aircraft are some of the causes of TAROM’s decline. <\/p>\n
<\/p>\n
Competition from low-budget airlines, ineffective ticketing and growing customer dissatisfaction also
\nled to a loss in the market share. The company has some 2,000 employees, of
\nwhom 70% are related to which each other through family ties or are connected
\nin some way, and, according to a report by the oversight body of the former
\nprime minister Mihai Tudose’s cabinet, was sabotaged from within, with its
\nemployees exchanging emails with other employees detailing the company’s
\nstrategy with regard to taking over certain flights. Moreover, according to the
\nstate institutions, TAROM’s maintenance and repairing costs were 40% higher
\nthan those of any other company in Europe. <\/p>\n
<\/p>\n
The company had no less than 5
\nmanagers in 2017 alone. The fifth and current manager, Wolff Werner-Wilhelm,
\nsays his team has managed to cut expenses by 2.7 million euros last year by
\nstreamlining the company’s activity. Now undergoing a process of re-evaluation
\nand reorganization, TAROM has big plans, and, according to its draft income and
\nexpenditure budget for 2018, may see a profit at the end of the year. Funds
\nhave also been allocated for investments. Under the new governing programme for
\n2018-2020 published at the end of January, the urgent renewal of the TAROM
\nfleet through the lease of 27 modern planes and the launch of new regional
\nflights and even courier flights to the US and Asia are among the measures
\nmeant to put the company back on the right track. New domestic flights are
\nalready being launched and the first two new planes are to arrive over the next
\nfew weeks. <\/p>\n
<\/p>\n","protected":false},"excerpt":{"rendered":"
Romania’s flag-carrier airline TAROM, which is undergoing a process of re-evaluation and reorganization, may see a profit at the end of the year for the first time since 2007<\/p>\n","protected":false},"author":108,"featured_media":77107,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[37738],"tags":[39266,30062,39267],"coauthors":[],"class_list":["post-77106","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-today-in-the-news","tag-reorganization","tag-tarom","tag-wolff-werner-wilhelm"],"acf":[],"yoast_head":"\n