Mass layoffs part of MAS recovery plan

Mass layoffs part of MAS recovery plan

Malaysia Airlines is believed to be considering laying off a third of its staff as part of its recovery plan following business losses and two devastating incidents in 2014.

As per a Reuters report, the airline is amid contract re-negotiations as well as fleet and route reviews as part of the state-led overhaul by owner Khazanah Nasional Bhd.

The update comes after the carrier was privatised following a 6 billion-ringgit (US$1.8 billion) bailout by the government in December.

Khazanah reportedly said that by July 1 the airline would emerge as a “new company”, with the old brand and its spate of issues to be put behind them moving forward.

The latest strategies outlined to re-vitalise the company include being on track for profitability by the end of 2017 and re-listed by 2020, is all part of the 12-point recovery plan according to the report.

MAS’ newly appointed chief executive designate, Christoph Mueller, former Irish carrier Aer Lingus boss, will be at the helm of the changes and will be evaluating the performance of its 14,000 employees and reviewing some 4,000-supplier contracts to meet “market-based requirements”, Khazanah said.

The airline will also cut capacity by more than 10% in 2015 and aim to increase by 5% annually over the next five years, focussing on Southeast Asia and the broader Asia-Pacific region, according to Khazanah, as per the report.

“It will review its European and Middle Eastern routes and “re-align” its fleet accordingly,” the report stated.

The airline’s fleet will be comprised of Boeing 737-800s, and “mid-sized wide-body planes” like Airbus Group NV’s A330s or A350s, according to Reuters and larger aircraft like Airbus A380s could potentially be sold or rented out.

Image: Rediff

Latest News

  • Attractions

Wackadoo! Bluey’s World is set to open in Brisbane

Wackadoo! The eagerly anticipated Bluey’s World is set to open in Brisbane, on 7 November, offering families an unforgettable Bluey adventure with tickets on sale from tomorrow. Bluey’s World is a one-of-a-kind, immersive experience that will take visitors into the Heeler’s iconic family home, backyard and beyond – for real life. Get ready to play […]

  • Destinations

Listening to whales, followed by Ales and Prawn Tails on the Sunshine Coast

Queensland’s Sunshine Coast is preparing to welcome more than 40,000 humpback whales that are making their way up the Australian east coast on their annual migration. The Sunshine Coast is one of Australia’s premier whale tourism destinations, built on its long-established whale watching cruises and Sunreef’s pioneering Swim with Whales experience, which celebrates its 10th […]

  • Aviation
  • Travel Agents

Webjet relaunches partnership with AirAsia with a huge Asia flights sale

Online travel agency Webjet has have relaunched their partnership with AirAsia with a huge Asia flights sale, available until 2 June. To give customers a greater breadth of choice and price point, hundreds of new flight options to Aussie favourite destinations have been added, including Bali, Kuala Lumpur and Bangkok via AirAsia, AirAsiaX, Thai AirAsia […]

  • Luxury

Why luxury clients are opting for immersive experiences over material items

The Luxury Travel Collection’s (LTC) inaugural business owners Soiree took place on Hayman Island last week. The event saw luxury leaders gathering to find out more about the key trends shaping the industry. The Immersion Day, held on Thursday 16 May 2024, followed the growing luxury client trend of valuing immersive experiences over material items. […]

  • Conferences

Empowering underserved communities: Expedia Group’s drive for more inclusive travel

Expedia Group has used the EXPLORE conference at the Aria Resort in Las Vegas to highlight initiatives that empower underserved communities worldwide.   In a groundbreaking move towards fostering diversity and inclusion within the travel industry, Expedia’s Global Social Impact and Sustainability Team is dedicated to shaping a travel landscape that is safe, welcoming, and accessible […]

  • Cruise

P&O rescues Rotary volunteers after collapse of Air Vanuatu

P&O Cruises Australia has answered a plea for help from a group of young Australian Rotary volunteers, stranded in Vanuatu following the collapse of Air Vanuatu. The students, many of them teenagers from Albury, NSW, were volunteering for a youth project run by the Hive Rotary Club Australia when the airline abruptly cancelled all flights, […]

  • Destinations

Intrepid continues expansions with launch of first DMC in Jordan

Intrepid has increased its presence in the Middle East with the opening of its first destination management company in Jordan. Based in Amman, the local team will operate Intrepid’s range of nine experiential small group tours in Jordan from this summer, with a view to expanding the range for 2025 and beyond. Zina Bencheikh, managing […]

  • Appointments

Minor hotels appoints Puneet Dhawan to key Asia role

Global hotel owner and operator Minor Hotels has appointed Puneet Dhawan as head of Asia as the group plots its growth in Asia and India. From July, Dhawan will be responsible for the performance of all Minor Hotels properties in Asia, working in close collaboration with the Minor Hotels senior leadership team and will report […]

  • Appointments

Abercrombie & Kent and Crystal appoint Evon Ler to director of sales, Asia

Abercrombie & Kent Travel Group have announced that Evon Ler will join them in the new role of director of sales, Asia. She will work closely with Tony Archbold (VP, Sales, APAC, Crystal) and Susan Haberle (VP, Sales & Partnerships, APAC, A&K) with trade support across the region. Ler comes to the A&K family with more […]