Do you think Malaysia Airline will close down soon?

[Kangadrool]

you need volume and optimization just like mega container vessels.

 

That's why airlines are into code-sharing just like slot-exchange in container shipping.

 

Porter's Five Forces says The Airline Industry is very very high risk with meagre profits.

 

https://www.youtube.com/watch?v=hUWAwor9rcA

 

Edited May 28, 2015 by Kangadrool

[Kb27]

A good CEO is one who comes down hard; tearing apart mini empires of fat executives with their cronyism and sheep will be collaterally sacrificed.

 

But then he will rebuild without the unwanted past....hopefully.

[2BDriver]

http://www.thestar.com.my/News/Nation/2015/05/28/Monday-is-DDay-for-MAS-staff-20000-employees-to-know-who-stays-and-who-leaves/?ref=yfp

Monday is D-Day for MAS staff

PETALING JAYA: Monday will be red letter day for 20,000 Malaysia Airlines (MAS) employees. Their wait to know if they still have a job will be over.

The airline’s new chief executive officer Christoph Mueller made it clear that this difficult period of anxiety will be over then.

“We have left our staff for too long with the uncertainty. It’s our utmost obligation to put an end to the uncertainty so that everybody can go on with their lives,” he said in an exclusive interview with The Star.

On June 1, termination letters will be sent out to all the employees but about two-thirds of the staff will be offered jobs with the new company, MAS Bhd. They have until June 12 to decide if they want to join up on new terms.

The new airline, a smaller entity, will only be able to accommodate about 14,000 employees.

“MAS Bhd needs fewer staff as it will focus on regional routes,” said Mueller.

“We have created a talent pool, it is unfortunate and very sad that we have to let go talent.”

The termination exercise is part of the plan to remake MAS, whose assets and liabilities will be transferred to MAS Bhd which takes over the operations from Sept 1.

Every staff member terminated will get a base payment depending on their grading.

Those not offered jobs with MAS Bhd will also be entitled to an ex-gratia payment.

Those offered jobs at MAS Bhd will also get bonuses.

 

Those not employed by MAS Bhd will have to leave the company in stages, but some may be offered short-term contracts.

Mueller said the complete overhaul of the airline might take up to three years and some functions within the airline would be outsourced to partners.

“It is a very complex process, there will not be one cut-off date.

“We have a very slow staggered procedure ... let’s say, reduce the head count over more than two years,” Mueller said.

As MAS Bhd will be outsourcing some of its functions eventually, others will have to leave later. The new airline will be a completely new airline, with a new look, branding and livery.

Mueller said he did not expect 100% acceptance of the job offers that MAS Bhd would make on Monday.

“If we have an acceptance rate below 100%, we will have a second round and offer those jobs to people who did not receive offers the first time around,” he said.

If need be, he added that there “might even be a third round”.

He said there could be various reasons for some not wanting to join MAS Bhd, but he would give details on Monday so the staff could make informed decisions.

Asked whether he has decided on who will be on his management team, Mueller said: “Partly yes, and partly no ... let me tell you there are lots of vacancies in the management ranks so we will start the new company with a lot of open positions. We will start advertising next week, internally and externally. In some areas we have enough talent.”

[Maxus-MIFA9]

MAS.........Mana Ada System

 

MAH.........Mana Ada Hope

 

 

Good one .....

 

[2BDriver]

 

 

Good one .....

 

How about ?

MAH...........Malaysia Airlines Horrible

[Kumweng]

How about ?

MAH...........Malaysia Airlines Horrible

cheap air ticket now....

[2BDriver]

cheap air ticket now....

 

[Kumweng]

 

Cheap offer must grap fast. If scare then any plane will also crash .right?

[2BDriver]

http://www.themalaysianinsider.com/malaysia/article/bicycle-allowance-among-culprit-in-mas-financial-drain-says-new-boss?ref=yfp

Bicycle allowance among culprits in MAS financial drain, says new boss.

Published: 29 May 2015 9:12 AM

Some 180 types of allowances paid out by Malaysia Airlines, including a monthly bicycle allowance to one employee, contributed to its financial drain, The Star reported today.

It quoted MAS chief executive officer Christoph Mueller as saying that huge overtime claims, over-priced contracts and salaries also added to the airline's costs.

But Mueller said that this phenomenon was also prevalent in many airlines.

"In many airlines, it grows over the years. You have a flight into a cold area and there is a winter clothing allowance.

“It is not just the base salary you get. You have a lot of other things,” Mueller said in the report.

He also said the airline suffered a lot from “abuse of overtime”, adding that the overtime payments were at times higher than salaries.

He told the paper that overtime became a hidden currency for base pay substitution in certain parts of the company.

Mueller (pic, left) said this was bad practice, as apart from having to pay high for overtime, it also caused the aircraft to leave the hangar late.

"That is because you can only justify the overtime if the work you do is delayed,” he said, adding that as such, there was the motivation to deliver an aircraft out of the hangar permanently late.

He said under a new reward system, staff will be given incentives for finishing their work on time.

“We have to replace this type of bad practice with more flat salaries so we can incentivise people with more money if they finish the work on time, which I think is more normal,” Mueller told The Star.

He said that the employment terms for MAS Bhd were benchmarked with several airlines or specialised companies, adding that the new pay scale factored in the cost of living in Malaysia and elsewhere where MAS was based.

He added the company also took into account seniority, which was a complex process.

The Star report also quoted a source who said the salaries of some senior executives was an issue with some unions, with some earning more than RM100,000 a month.

As of the end of December 2013, MAS’s staff cost was its second biggest item after fuel, totalling RM2.3 billion in 2013, down from RM2.5 billion a year earlier at the group level.

MAS is preparing to terminate one third of its workforce, and some 20,000 MAS employees will know their fate next week.

Only two-thirds of the workers will be re-employed under the rebranded MAS Bhd. – May 29, 2015.

[Kb27]

A lot of fatass the new CEO has to cut.

 

I'm sure it won't be easy, when he runs into well-connected people in politics.

[Mockngbrd]

I thought the title was "Do you think Malaysia will close down soon"

[2BDriver]

A lot of fatass the new CEO has to cut.

 

I'm sure it won't be easy, when he runs into well-connected people in politics.

MAS chief executive officer Christoph Mueller finds himself tracking in sharks infested water, might get bitten by these creatures sooner or later.

[2BDriver]

A lot of fatass the new CEO has to cut.

 

I'm sure it won't be easy, when he runs into well-connected people in politics.

http://www.themalaymailonline.com/malaysia/article/mas-union-warns-of-possible-protest-by-retrenched-staff?ref=yfp

MAS union warns of possible protest by retrenched staff.

KUALA LUMPUR, May 29 — A union representing Malaysia Airlines (MAS) employees who may find themselves jobless next week has sought legal recourse and may resort to staging a protest due to the “unjustifiable” terminations.

According to local daily New Straits Times, the National Union of Flight Attendants Malaysia (Nufam) is currently in talks with legal experts on the lawfulness of MAS firing 8,000 of its 20,000 employees, adding that it will protest the unjustified termination if necessary.

“What happens to those who do not agree to the retrenchment conditions or those who do not sign the rehiring offer letters?

“We are also looking to proceed on grounds of unjustifiable dismissal and we may stage a protest against the terminations,” Nufam president Ismail Nasaruddin was quoted saying.

Ismail also questioned how sovereign fund Khazanah, MAS’ new parent company, decided that a massive retrenchment was the only viable option when it has not made a declaration of losses or diluted its assets.

“How did Khazanah arrive at this decision? We deserve to know the answers to these questions instead of being kept in the dark about Khazanah’s decision and being told to just wait for the letters to arrive.

“Retrenchments as massive as this should be justified, with a declaration of losses and dilution of all asset, after liabilities are paid off, before such a step can be taken,” he was quoted as saying by the English daily.

Ismail also claimed that the severance packages the terminated employees are set to receive contained loopholes and “hidden shortcomings” but did not specify what those flaws were.

The Star reported on Monday that over 8,000 MAS workers were now at risk of termination as the airline may widen its jobs cull beyond the initially reported 6,000 that it previously said was needed to trim its headcount to a “sustainable” 14,000.

The employees will learn their fate on June 1, when every worker other than newly appointed chief executive Christoph Mueller will be terminated, before possibly being offered new employment with MAS’ new entity, Malaysia Airlines Bhd (MAB).

Mueller told The Star today, however, that overtime claims abuses, frivolous allowances and employee perks was why MAS was in financial hardship and having to fire thousands of its employees.

The national carrier was delisted in August after sovereign wealth fund Khazanah offered to buy out minority shareholders for a total of RM1.38 billion to restructure MAS, which suffered two air disasters this year.

The total takeover will cost Khazanah RM6 billion after the twin tragedies of MH370 and MH17 had threatened to overwhelm MAS’s finances.

The sovereign wealth fund later unveiled a 12-point turnaround plan for the national carrier, titled “Rebuilding A National Icon — The MAS Recovery Plan”, which includes transferring all MAS assets to the new entity.

[Maxus-MIFA9]

Get ready popcorn .....

 

The showdown...... AMDK vs UMNO ...

[2BDriver]

Get ready popcorn .....

 

The showdown...... AMDK vs UMNO potong ...

Local snakes will win eventually

[Maxus-MIFA9]

Where is that "Coconut Man" when require to perform some ritual to prevent retrenchment ...

[Maxus-MIFA9]

MAS to be known as MAB

 

Mana Ada System to Mana Ada Bagus ...

[2BDriver]

https://sg.news.yahoo.com/malaysia-airlines-ceo-mueller-says-carrier-technically-bankrupt-084737167--finance.html

Malaysia Airlines CEO Mueller says carrier is "technically bankrupt"

Reuters – 4 hours ago

KUALA LUMPUR (Reuters) - The newly appointed chief executive of loss-making Malaysia Airlines said on Monday that the carrier is "technically bankrupt", as he announced plans for a restructuring that will cut the company's workforce by a third.

"We are technically bankrupt...the decline of performance started long before the tragic events of 2014," Christoph Mueller said, speaking at a news conference. Already squeezed into years of losses by stiff regional competition, the carrier was seriously affected last year by the loss of two jets in separate disasters.

Mueller was making his first public appearance as CEO since being hired last month by the carrier's owner, Malaysian state fund Khazanah, to lead the restructuring. The airline on Monday confirmed previously disclosed plans to cut 6,000 jobs, shrinking its workforce to 14,000.

(Reporting by Al-Zaquan Amer Hamzah; Writing by Praveen Menon; Editing by Kenneth Maxwell)

MAS to be known as MAB

 

Mana Ada System to Mana Ada Bagus ...

How it sounds to be................ Mana Ada Duit...... aka M A D