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WINSTON-SALEM, N.C. -
Pace Airlines advised the Federal Aviation Administration on Thursday is has temporarily ceased operations at its headquarters at Smith Reynolds Airport, an FAA spokeswoman said.
According to FAA spokeswoman Kathleen Bergen, Pace had been flying under an air carrier operation certificate issued by the FAA. Thursday, the company told the FAA it had stopped operations for a period of up to 90 days.
Bergen said the FAA has increased its surveillance of Pace, which provides charter and repair service for commercial airlines, in accordance with the agency's police for providing oversight to stressed carriers.
Last week, according to a memo to employees, Pace executives laid off all nonessential personnel. According to company executives, the reduction affected between 75 and 100 employees. Those cuts were in addition to earlier layoffs that affected up to 200 people.
For weeks, employees had complained of not receiving paychecks and the company not paying their health insurance.
William Rodgers Sr., the chairman and CEO of the charter airline, told FOX8 recently the company had many financial issues when he purchased it in June and his goal remains to grow the company.
He said he has been working with an investor to help get the company back on solid footing. He declined to name the investor.
According to FAA spokeswoman Kathleen Bergen, Pace had been flying under an air carrier operation certificate issued by the FAA. Thursday, the company told the FAA it had stopped operations for a period of up to 90 days.
Bergen said the FAA has increased its surveillance of Pace, which provides charter and repair service for commercial airlines, in accordance with the agency's police for providing oversight to stressed carriers.
Last week, according to a memo to employees, Pace executives laid off all nonessential personnel. According to company executives, the reduction affected between 75 and 100 employees. Those cuts were in addition to earlier layoffs that affected up to 200 people.
For weeks, employees had complained of not receiving paychecks and the company not paying their health insurance.
William Rodgers Sr., the chairman and CEO of the charter airline, told FOX8 recently the company had many financial issues when he purchased it in June and his goal remains to grow the company.
He said he has been working with an investor to help get the company back on solid footing. He declined to name the investor.
