Palmer and his assistants cost more to Estonian Air than Taskila

16.01.2013, 16:59

Estonian national carrier Estonian Air is unlikely to have saved anything when it fired CEO Tero Taskila that received 33,000 euros a month and replaced him with Jan Palmer and his two assistants Kjell Fredheim and Mikael Wangdahl.

Palmer has said that both Fredheim and Wangdahl are experienced aviation executives. Fredheim has been employed by large airlines and regional operators such as SAS, while Wangdahl has been CEO of several Swedish airlines including Skyways which went bankrupt during the time he was managing it.

The media has been wondering why Estonian Air needs such expensive executives while it is reducing the route network, not expanding it, nor plans to buy new aircraft.

Another question is why it was not decided to keep Taskila in his job and downsize the airline to a miniature airline with ten routes.

Ministry of Economic Affairs refused to comment the questions, saying that the contents of the agreements were confidential.

When the media asked the same from Fredheim, he simply refused to answer, saying that confidentiality clauses in his employment contract do not allow him to give such answers.

Palmer is earning 21,500 euros a month in Estonian Air. This means that Estonian Air saved money only if both consultants would work for 6,000 euros a month which is highly unlikely.