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Old 1st Feb 2009, 23:36
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Mike.Park
 
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More comedy in Bahrain's Gulf Daily News today.


Millions wasted on wages and bonuses

GOVERNMENT money is being squandered on high wages and bonuses for key officials at Gulf Air while the airline is failing, says a top MP.

Millions of dinars are going into the wrong pockets, says parliament financial and economic affairs committee chairman Abduljalil Khalil.

The Bahrain Mumtalakat Holding Company, which owns Gulf Air is pumping money into a recovery strategy that has yet to materialise, he said yesterday.

"Thousands of dinars go into president and chief executive Bjorn Naf's pockets and those of other key officials every month (in salaries), rather than being spent on the airline's growth, whether through training and educating Bahrainis, or developing services," said Mr Khalil.

"We are not against the government's injection of money into the company, but are against it being wasted on wages and bonuses for people who are doing nothing, considering that in past two years, since the chief executive was appointed, nothing major has happened.

"MPs want the company to stand on its feet again, we don't just want that, we want Gulf Air to fly.

"This will never happen with the current mismanagement going on, considering that the government will pump money every year, without any profits being expected even in 20 years."

Parliament demanded last Thursday that Mr Naf be sacked, saying he is not up to the job.

The call followed a meeting between parliament's financial and economic affairs committee and airline board members, led by executive committee chairman and director Jawad Habib Jawad.

A statement issued later through parliament's general secretariat called for a "search for a new chief executive who has the qualifications and experience necessary for a commercial airline".

It also called for four expatriate chiefs of various divisions to be replaced by Bahrainis.

Out of six such posts, only two are currently held by Bahrainis.
"It is important to Bahrainise higher leadership posts in the company, especially higher administrative posts, giving them priority in employment, education and training," said the statement.

It stressed that the company should not get rid of any Bahrainis, but questioned the education and experience of expatriate employees, including those in the most senior posts.

MPs say the airline's problems have continued under Mr Naf's leadership and that he has employed expatriates in high-ranking posts for which they have neither experience nor qualifications.

"We want a new chief executive other than Mr Naf, because we believe he is wrong for the post," said Mr Khalil.

"If a replacement is sought, a Bahraini is preferable, but we have no problem with a capable expat, who can lead the company into the future.

"We wouldn't have faced problems having a replacement for Mr Naf or other key officials, if Bahrainis were trained and educated by the company to handle key posts."

Mr Khalil said that MPs were upset with the way Gulf Air was being handled by key officials.

"We have identified the main problem and we are looking for ways to solve it and will not stop until we believe that the company is going in the right direction."
Mr Khalil said on Thursday that parliamentary blocs and independent MPs had postponed setting up a probe committee into the company's affairs two weeks ago, but was set to bring it again tomorrow.

Gulf Air officials would not comment.
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