Commercial airlines are businesses and are subject to a multitude of conditions that cause some to fail and others to thrive. It seems to me, however, that in recent times there have been an unusual number of airlines declaring bankruptcy or just shutting down — on many occasions without notice. In 2026 alone there is cause for concern as media reports globally show at least one such occurrence per month.
Veronika Bondarrenko (The Street, ‘Another Airline files for bankruptcy and cancels flights’), reports on a Swedish charter airline, H-Bird, being declared bankrupt at the end of last year, AlpAvia Charters of Slovenia and Starflite Aviation in Houston, Texas, USA, being shut down by the FAA for alleged falsification of pilot training records, both in March 2026. These were followed by Magnicharters (Mexican), which closed its doors in May 2026, as did Spirit Airlines (US) in the very same month. This represents a very small sample of what is transpiring in the global aviation industry currently.
Occurrences of this nature beg for an explanation of what is causing such failures at a time when world travel reports point to an upsurge of passenger travel using commercial means globally, since the debilitating impact of the COVID-19 pandemic. Global fuel costs are cited as a serious concern of the industry, as also the present US-Israel versus Iran war, which severely disrupted fossil fuel supplies, causing commodity increases, and which seems to be at the crux of the matter.
Airlines, however, have used their normal strategy, that is to increased airfares, to offset higher fuel costs and the public has continued to travel, so there must be more to it than is being explained.
Interestingly, shortage of aviation fuels has only been impacting countries sanctioned by the USA, so increases in fares seem to have taken place where no shortage of this commodity exists. Are there, for example, increased maintenance costs, greater regulatory enforcements, increased costs for hiring crews for the cabin and the cockpit, and naturally, increased financial outlays required for training persons on aircraft that have become more complicated over time?
If these are areas severely impacting the aviation industry today, it stands to reason that the crewless aircraft (no cabin or cockpit crew) is closer to being rolled out than we know, as businesses will be considering this as a critical cost-cutting strategy! I don’t think this is unavoidable, but I am sure most people across the globe are not ready to accept that one yet. The advent of the modern-day bullet train, operated remotely, is still finding its footing in many jurisdictions and is a more acceptable means of travel for now.
Aviation travel connects cities, countries and continents. It brings with it the ability to do business, exchange goods and services, have vacations, enjoy travel experiences, earn incomes, employ people and sustain economies, among many other things. Spirit Airlines, for the years it operated in Jamaica, helped to connect families, grow our tourist industry, boost foreign exchange earnings, create local employment and other economic opportunities.
Airlines going bankrupt reduce the earning power of small island developing states, such as our own; and where they cannot be easily replaced, leave an obvious void in capacity to develop. Fast on the heels of the demise of Spirit Airlines came news of Jet Blue Airlines, another major carrier to Jamaica, announcing that they, too, may be declaring bankruptcy shortly. Both Spirit and Jet Blue are regarded as low-cost carriers which have served Jamaica well over the years, especially in times of fluctuating airfares and attendant costs. They have provided a reasonable cost structure, allowing lower-income persons in Jamaica to travel, while making it more attractive for visitors to come to our shores. Declaring bankruptcy impacts both the country where the airline originates and the countries to which they transport people, goods and services. It’s a business phenomenon that really suits no one.
Jamaica no longer owns its own airline, so we are left at the mercy of global business cycles and preferences. We can woo other airlines to come here, and I believe this to be an active part of the Government’s strategy going forward. This depicts a dependency syndrome which, I suggest, we should consider moving away from, though not totally. No country does it alone, but the re-establishment of our own airline could go a far way in displaying how resilient a people and country we are in charting our destiny. Most developed countries have their national airlines which are key to their development. Jamaica can learn from past mistakes and move forward with positivity within its aviation industry. The time to reconsider the introduction of a Jamaican-owned international carrier is now.
Be that as it may, however, questions regarding the reasons for increased rates of bankruptcy are still not fully explained, and I do hope that someone more qualified than myself can write, fully explaining such occurrences, as they have far-reaching implications for developing states.
SSP Diaries
24 May 2026
