News: Malaysia Airlines restructuring plan gets a boost

Strategic HR

Malaysia Airlines restructuring plan gets a boost

The plan to save Malaysia Airlines (MAS) could succeed where past endeavours have failed because the government has finally put politics aside by agreeing to sweeping job cuts, people briefed on the restructuring told Reuters. The job cuts — if they are followed through — would mark a departure from previous attempts to restructure the loss-making airline, which has for years operated with bloated staff numbers amid political pressure from unions. Under the radical $1.9 billion overhaul unveiled last week, MAS said it would shed nearly a third of its 20,000 workforce after the airline was broadsided by two jet disasters this year. Flight MH370 remains missing since it disappeared en route to Beijing in March and MH17 was shot down over Ukraine in July. “Unfortunately, it took two crashes to make the government realise that sweeping changes were needed at MAS,” said one of the people. “With the job cuts, MAS finally has a plan that has a chance of succeeding.”

The plan to save Malaysia Airlines (MAS) could succeed where past endeavours have failed because the government has finally put politics aside by agreeing to sweeping job cuts, people briefed on the restructuring told Reuters. The job cuts — if they are followed through — would mark a departure from previous attempts to restructure the loss-making airline, which has for years operated with bloated staff numbers amid political pressure from unions. Under the radical $1.9 billion overhaul unveiled last week, MAS said it would shed nearly a third of its 20,000 workforce after the airline was broadsided by two jet disasters this year. Flight MH370 remains missing since it disappeared en route to Beijing in March and MH17 was shot down over Ukraine in July. “Unfortunately, it took two crashes to make the government realise that sweeping changes were needed at MAS,” said one of the people. “With the job cuts, MAS finally has a plan that has a chance of succeeding.”

Read the LiveMint news report here.

Read full story

Topics: Strategic HR, #Current, #Corporate

Did you find this story helpful?

Author


QUICK POLL

How do you envision AI transforming your work?