Friday, March 16, 2012

Najib, Close Down MAS And F.O The Union.

Hantu Laut

I still remember the day Lee Kuan Yew threatened to close down SIA.That was in 1980 when I still lived in Singapore.

Lee's fiery speech telling the Singapore Airlines' Pilot Association, in no uncertain term, what he intends to do if they continue with their 'work to rule' action that have disrupted several of the airline flight's schedule.The pilots were asking for higher salaries and greater benefits.

At that time SIA had many expatriate pilots.

Lee personally confronted the pilot and told them he would close down the airline, sack all of them, if he had to, and start a new airline.

As a consequent, the association was de-registered and its officials prosecuted and SIA continued to soar into the blue yonder.

Lee has shown how tough he can get when facing a threat.This is what true leader should do when confronted with threat from a small group of people, too selfish to care about the nation's interests.

The great Mr. Lee taking on the Americans.

In 2004, Lee, this time not as PM, but as minister mentor had head-on collision with the SIA pilot union again.Taking up a personal charge to clean up the problem posed by the SIA pilot union Lee warned of "cracking head" if the pilot union moved toward a strike.His concern is two of Singapore's biggest assets, SIA and Changi Airport, which is already facing severe challenges from budget airlines and long-haul air crafts which could bypass Singapore as stopover point.

As they say 'the rest is history' and without me saying, you should know who  the winner was?

I must say, I am disappointed with Prime Minister Najib Tun Razak.He succumbed to too many demands made by the oppositions, his own party belligerents and now he seemed to have succumbed to the MAS employees union and the root of the matter is not even over wages and benefits for the union workers but about who can buy into MAS and who can't.

The union is now interfering in the business and management of the company.

Obviously, Najib is listening to the wrong people advising him how to deal with MAS woes.

MAS massive losses of MR2.5 billion incurred last years has nothing to do with the share swap.The share swap was done in August 2011 which is slightly over six months now.

Any nincompoop would know there are gestation periods involved before the company can show profitability. To say MAS is at the losing end of the deal is preposterous.If you replaced one shitty management with another one of the same standing should you expect any better?

Like the carpenter who blame the tools for his shoddy work, MAS management keep harping on increased cost of fuel as the gremlin of their problem. 

What about SIA and other profitable airlines, are their planes running on water? What about Air Asia, the cheapo airline, how the hell they can show profits for the same period? Maybe, their planes are running on sugarcane juice?

It's a shame that this bunch of Malay technocrats never seemed to get their act together, more attune to playing the blame game than getting down to serious work of saving the airline.

Instead of looking into cost cutting, redundancy, retrenchment and boosting sales, they found a new rat on board that may be cutting the ground under their feet.

The rat is no other than Tony Fernandez, whom they see as a threat.

It was reported that officials of MAS union went to see the PM to state their displeasure and opposition to the share swap with Air Asia.The PM should have showed them the door and tell them it is not their business to tell him how to run the government, their business is to look after the welfare of their members.If MAS goes down, they all be out of a job, anyway.

Would 20000 MAS employees scare him into breaching the MAS/Air Asia tie-up? Would a new government entity taking over the airline makes it profitable? I cast my doubt.

(The Malaysian Insider has learnt that Putrajaya officials are working on a plan for Khazanah to divest its stake in MAS first before a general offer is made for the remaining shares from other shareholders, including tycoon Tan Sri Tony Fernandes’ Tune Air, which owns a 20.5 per cent stake in the national airline. In the August 2011 deal, Khazanah got a 10 per cent stake in Asia’s biggest budget carrier AirAsia.) Unquote.

Food for thought!What happened if Tony Fernandez refused to sell after the restructuring. What you do? Shoot him,ISA him or sent him to Ceylon?

Najib should make business decision, not political decision.He should not entertain the MAS union's demand.It absurd that 20000 MAS employees can save his premiership and he sacrificing more taxpayer's money to appease them.

Najib is moving in the right direction but he must show that he is control, he is the boss, not swayed by people who are harbingers of doom.

Quote (
Failing to placate the union could turn into a political hot potato for Najib as MAS operations are centred in Selangor, an important industrial state Najib wants to wrest back from the opposition in elections that could be held within months. MI) Unquote.

Close down the damned airline and F.O the MAS union.It's the people money that's going down the drain.

Alternatively, sell MAS to Tony Fernandez for a song.

1 comment:

Raj said...

In complete agreement with you on your above article. One should whack the 'Unions' for their absurdities and senselessness like Lee Kuan Yew and the "Iron Lady".