NUFAM demand involvement and transparency in MAS re-structuring? Which 6,000 will be selected for retrenchment?

What is happening in MAS? They are going to 'retrench' about 6,000 MAS employees, but the question is whether all this is happening with the full consultation and approval of all the unions representing workers in MAS.

The legal principle for any retrenchment is 'LAST IN FIRST OUT(LIFO)' - is this the principle that will be followed? Or will they just get rid of the strong worker and union leaders? How many flight attendants will be laid off? If workers know that they may be laid off, I am certain that many will not be wasting time looking for a better job elsewhere now - rather than wait. 

Khazanah Nasional Bhd is still evaluating the form of compensation it will hand out to the 6,000 staff of Malaysia Airlines (MAS) who will be laid off  in an ambitious restructuring exercise to bring the ailing national carrier back to profitability, said Prime Minister Datuk Seri Najib Razak. - Malay Mail, 5/11/2014, Najib: Khazanah yet to settle compensation in MAS retrenchment plan

 NUFAM has responded with a statement below:-

Najib: Khazanah yet to settle compensation in MAS retrenchment plan | Malaysia | Mobile | The Malay Mail Online -http://m.themalaymailonline.com/malaysia/article/najib-khazanah-yet-to-settle-compensation-in-mas-retrenchment-plan

5 November 2014

PRESS STATEMENT

The above captioned was caught in today's Malay Mail Online‎ dated 5 November 2014.

The National Union NUFAM ‎fears such statement will give an adverse impact on the workers itself if MAS decides solely on who they wish to retain in MAS Baru.

This warrants NUFAM to question which staffs will be selected to stay and who will be asked to leave, no one knows up to this date. 

At this moment, 6000 staffs future will be at the mercy of the current management who remains in power to control MAS. 

MAS itself should not be given the full mandate to decide who should be absorbed into MAS Baru as it can raise doubts and will allow MAS to be biased in their decisions. 

Why should it be left solely to them while the management has made plenty wrong decisions in the past? 

It is not right in principal to allow the management solely to decide who they do not want as this will allow MAS to take advantage ‎for their own benefit against those who are deemed vocal against the company. 

If the decision is left to MAS alone to decide, then NUFAM is objecting to this move announced by the Government.

NUFAM wants the Government to play a Watchdog role as recommended earlier by NUFAM to also include Unions who have representation rights over these workers and to hold open discussions on the move to restore MAS back into business. 

The staffs do not want biased decisions made by the management itself, as they can use this advantage against many people.

We have 3,000 Cabin Crew in MAS whose future is in limbo and we do not encourage ‎the mandate itself be given by the management. 

The staffs want total transparency on how the talent evaluation programe is being decided upon. 

NUFAM believed there are bound to be biased decisions made by some parties within MAS itself in their favor. 

Union members will mostly be affected if these decisions are allowed to be seeped through.

For now, MAS has yet to make fair decisions to retain their employees. They must be transparent enough in terms of making their plans work in this new restructuring exercise as they are sacrificing thousands of employees through this new restructuring. 

We want MAS and those involved in discussions to be more transparent and discuss these plans with the National Union. 

‎Another information which NUFAM has received that there is company called Jentayu Danaraksa Sdn Bhd being named as one potential party who may be partners to MAS. 

The company was named in a letter sent to the PM yesterday and have "accepted in principal" by MASEU. 

Who is Jentayu Danaraksa and what is their role and background to such agreement made between them and MASEU? How did MASEU agree to terms with Jentayu Danaraksa without the knowledge of their members? 

The National Union was informed that there were discussions held between MASEU and the board members without anyone's knowledge. 

‎We believed this will lead to more questions to be raise on how Jentayu Danaraksa Sdn Bhd was "principally" appointed and accepted in MAS by MASEU. 

If there are new share holders in MAS,Khazanah must announce to the public of their existence. 

The manner of which MAS is  seen very silent in making decisions raises doubts amongst the19,000 MAS staffs.

We want to see more transparency and Khazanah should lived up to its promises to protect the interest of the entire MAS airline staffs and its business. They must explain how their plan will work to save the airline and their staffs and who are the relevant parties to have shown interest to become potential buyers or partners to the airline. 

The airline staffs deserves to know the truth as their future is at stake by any deals or appointments made by Khazanah Nasional itself. 

END

Najib: Khazanah yet to settle compensation in MAS retrenchment plan

BY JOSEPH SIPALAN
November 5, 2014

KUALA LUMPUR, Nov 5 — Khazanah Nasional Bhd is still evaluating the form of compensation it will hand out to the 6,000 staff of Malaysia Airlines (MAS) who will be laid off  in an ambitious restructuring exercise to bring the ailing national carrier back to profitability, said Prime Minister Datuk Seri Najib Razak.

He said the national investment firm is still waiting for the results of a talent evaluation programme that is being conducted by MAS before it can make a decision on the matter.

“Apart from a retrenchment scheme, Khazanah is currently evaluating other schemes that can be considered to make sure the best talents are given incentives and remain in ‘MAS Baru’,” he said in a written parliamentary reply to PKR’s Kelana Jaya MP Wong Chen.

Khazanah announced in August a RM6 billion takeover of MAS, which fell further into crisis after the double tragedies of MH370 and MH17 that threatened to sink its poor financials.

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 a new entity tentatively known as ‘MAS Baru’ or ‘new MAS’.

Khazanah has also established an Outplacement Centre (OPC) that will provide support to the 6,000 staff who will be retrenched in terms of placement and professional, emotional and financial support during the transition period.

Najib, who is also Finance Minister, stressed that MAS is an important contributor to the country’s revenue by virtue of the high rate of economic multipliers that come with the airline industry.

“For example, for every staff taken on by MAS, there are four other support positions that are created in various fields in the economy. Hence, MAS must continue to play an important role in developing Malaysia’s economy and continue to contribute to the nation’s GDP (gross domestic product),” he said. - Malay Mail, 5/11/2014, Najib: Khazanah yet to settle compensation in MAS retrenchment plan