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FedEx Express is planning to temporarily relocate its Hong Kong-based aircrew and their families to avoid tough new quarantine measures in the city. Photo: Reuters

Exclusive | FedEx Express balks at Hong Kong’s new coronavirus quarantine measures, will temporarily relocate aircrew and families to San Francisco

  • In a memo seen by the Post, the cargo giant says it hopes to avoid ‘extended periods of isolation’ that would be created by the new 14-day requirement
  • Move could represent tip of the iceberg as other airlines scramble ahead of new quarantine measures set to be revealed this week
FedEx Express is planning a hasty, temporary relocation of its Hong Kong-based pilots and their families from the world’s busiest air cargo hub to San Francisco, making it the first major airline to balk at official plans to force aircrew to quarantine for 14 days.

The sudden relocation could represent just the tip of the iceberg as the tough new measures force passenger and cargo airlines to reconsider their flights to and from Hong Kong, which could seriously impact the movements of people, parcels and cargo.

The cargo airline business of the US package delivery giant told staff it expected Hong Kong to implement an extended Covid-19 quarantine regime that would affect its locally based aircrew with no exceptions, prompting the activation of contingency measures, according to a memo seen by the Post.

Hong Kong set to hit aircrew on long-haul flights with strict new quarantine measures

FedEx employees and their families could be relocated as soon as February 1, with the company covering out-of-pocket expenses and paying for their hotel accommodation. The airline employs 180 pilots in Hong Kong.

“While we don’t know what the rule will state, when it will precisely take effect, or how long it will last, we do not want unknowns to prevent us from taking action based on what we understand may likely occur,” the company told pilots on Wednesday.

In a statement, FedEx said it had developed plans to ensure it complied with new requirements, ensuring the safety and well-being of its staff, while continuing to serve Hong Kong.

We do not believe it is appropriate to subject [Hong Kong] crew members to these extended periods of isolation
Memo to FedEx employees

“Depending on the scope of the rule, these steps may include a temporary modification of our [Hong Kong] base,” a company spokeswoman said. “Regardless of any changes that may be made, we will continue to operate in Hong Kong, providing the critical services and connectivity our customers depend on.”

The company’s memo pointed out that, based on its flight operations, it would deprive locally-based crew members of the ability to go home and see their families if their next flight was within 14 days.

“We do not believe it is appropriate to subject [Hong Kong] crew members to these extended periods of isolation,” it read.

Airlines in Hong Kong have been left to scramble after it emerged that new quarantine rules were due to be announced later this week.

FedEx Express is the first airline to balk at new quarantine measures Hong Kong is expected to announce this week. Photo: AP

Cathay Pacific Airways would be disproportionately affected by the measures, which are being introduced a year into the pandemic in a bid to stop imported coronavirus infections.

The city’s largest airline on Monday warned the rules would cost it up to HK$400 million (US$51.6 million) a month, and force it to cut flight capacity by 60 per cent and cargo capacity by 25 per cent. The struggling airline, subject of a HK$39 billion government-led bailout in June last year, is currently burning between HK$1 billion and HK$1.5 billion a month.

The company on Wednesday said it would seek to raise an additional HK$6.74 billion by selling convertible bonds to investors.

Brian Wu Pak-hei, chairman of the Hong Kong Association of Freight Forwarding and Logistics, said he was “not very concerned as long as the airlines have services flying and we are able to book their space to move the cargo for customers”.

The new rules for aircrew will affect Cathay Pacific Airways more than anyone. Photo: Sam Tsang

He added the association was closely monitoring how airlines might rearrange their manpower in light of the quarantine measure.

FedEx’s Asia-Pacific hub is located at Guangzhou Airport, but it also operates daily flights between Hong Kong and Liege, Paris, Osaka, Memphis, and Taipei. It also is a major shareholder in the Asia Airfreight Terminal at Hong Kong International Airport.

If the relocation goes ahead, it is unclear what the impact could be for FedEx cargo flights in and out of Hong Kong and what it could mean for package delivery times.

In the memo, the airline explained any pilot flying beyond February 1 would end their trip in the San Francisco Bay Area.

Pilots who had not left before February 1 “should do everything necessary to prepare to be relocated temporarily”, according to the note.

Cathay Pacific warns new quarantine rules will cost company HK$400 million a month

The airline also said it would pay to fly the families of Hong Kong-based aircrew to San Francisco so they could be reunited there at the end of the employee’s trip.

FedEx will also continue paying Hong Kong housing allowances so pilots would not lose their homes while temporarily living abroad.

Pilots’ families could also choose to stay in Hong Kong, the company said.

“This is not a decision anyone reached lightly,” the company told employees, adding it remained flexible to adapting to further rule changes.

“This temporary relocation ensures pilots can see their families as soon as they finish a trip, not weeks afterwards. It also eliminates our Hong Kong-based crews being stuck in a repeated loop of self-isolation.”

Lockdown fears mount in neighbourhood key to Hong Kong’s funeral industry

Hong Kong-based aircrew are currently screened upon arrival and must stay in a hotel for 24 hours while they wait for their results. Foreign crew members must isolate in hotel rooms throughout their stay and test negative for Covid-19 before flying to the city.

Separately, arriving aircrew who have been to Britain, Ireland, Brazil or South Africa in the past 21 days are subject to three weeks’ quarantine. There is currently a ban on passenger flights from those countries.

Last year, the ALPA urged FedEx to suspend flights to Hong Kong amid the pandemic, branding the health protection measures for infected aircrew or their close contacts unacceptable.

Forced hospital admissions and isolation for close contacts are standard procedure for local health authorities when handling positive virus patients and close contacts.

This article appeared in the South China Morning Post print edition as: FedEx to move its aircrew to US over quarantine rules
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