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Malaysia Airlines set for restructure, thousands face the axe

Malaysia Airlines' boss is reassuring travel agents and travellers that it is business as normal at the airline, despite rumours that thousands of employees could be axed this week.

Malaysia Airlines’ boss is reassuring travel agents and travellers that it is business as normal at the airline, despite rumours that thousands of employees could be axed this week.

Reports that over 6,000 employees could lose their jobs in the coming days come almost three weeks after Chief Executive, Christoph Mueller, confirmed that job cuts were part of a required restructure in order for the carrier to remain competitive.

At a meeting earlier this month, he told employees that the airline is currently spending 20 percent more than its competitors. Read on

This overspending in addition to the carrier’s successive air tragedies – MH370 and MH17 – has resulted in financial loss and even saw the carrier delisted.

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As a result, this morning, the carrier voluntarily appointed an Administrator to assist with a new business model and new a management team.

According to Free Malaysia Today, it is also believed that the Administrator will be responsible for signing termination letters.

Chief Executive, Christoph Mueller said travellers have no need to be concerned about the appointment as it is ‘very much business as usual’.

“All MAS flights, schedules, and reservations continue to operate as normal. We remain committed to serving you with our world-class Malaysian Hospitality, and look forward to welcoming you on board Malaysia Airlines.”

Christoph Mueller, Malaysia Airlines Chief Executive

“This appointment does not affect our daily operations or existing reservations.

“You can continue to make reservations in full confidence that our flights and schedules are operating as normal, that tickets sold will be honoured, and that our Enrich frequent flyer programme continues with Miles and status preserved.”

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Despite the airline’s reported poor financial position, it continues to perform well in the Australia market, according to the latest International Airline Activity report.

Malaysia Airlines was the eighth busiest carrier to operate to and from the country in February this year.

It achieved a 7.8 per cent increase in passenger numbers in February 2015, ahead of where it was in the same period in 2014. Read on

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