PSY514: Yellow air is a UK-based airline that used to specialise in long-haul flights to a wide range of destinations across the world: Organisational Development and Change Case Study, SUSS, Singapore

Case Study

Riding the Waves of Change

The Case of Yellow Air

Yellow Air is a UK-based airline that used to specialize in long-haul flights to a wide range of destinations across the world. Originally a publicly owned state enterprise, Yellow Air (YA) was privatized and floated on the stock market five years ago. This event drew a lot of attention from large companies and individuals alike who rushed to buy shares.

Other important changes also happened in the wake of YA’s privatisation and floatation, including a revision of the terms and conditions of employment for all staff. The salaries of pilots and cabin crew were substantially increased – where they benefited from a hefty 30% raise in pay and could respectively earn up to £180 000 and £60 000 per annum. As for ground crew and other support and frontline staff, their terms and conditions were unrivalled across the industry as they were paid 25% more than their counterparts in other airlines alongside a reduction in working hours.