Comments
Your coments appriciated but Kflyer your veiws are bit contradicting in the real world.My question is with the current situation unable to generate revenue UL does not have a way of Expanding.
What I mean is the FLEET EXPANSION and NETWORK.
Bad news flowing everyday for UL because a freind of mine told me that Etihad will be starting 4 times a week from Abu dhabi to CMB.
I heard we arranged a 330 for Abudhabi recently?so than what ?
So if Etihad, Cathay. Oman Air, Air Asia, Singapore ,Austrian, Emirates have resumed flying or increasing the flights to Colombo then the state of UL expanding is doubtful. Unless they reduce the pricing and fill the plane.Hot Seats Promotion is a short term concept.We need to have Long Range Planning to capture the market.Mind you all these Airlines resumed flights to CMB as a long term plan.
In Terms of Downsizing, I meant they need to reduce the work force.thats the global trend and the only solution practiced by most companies accept USa where the Federal Government bail them out.
JOb cuts done by Air India, British Airways and Singapore not renewing the expat contracts.UL simply cannot afford 5500 people for 12 Aircrafts.
To my knowlwsge there are only 3 solutions ,
1/Ask for a huge cheque from the MR Government ( Very unlikely)
2/Sell the remaining shares to another Operator ( No bodys interrested)
3/ Senior Managers should take a Pay cut and work for atleast 6 months
( I ve heard again thru a friend of mine Snr Managers been asked to take 1 year No pay)BUT after One year when they come back it will be the same ???????
4/Limit the Departmental budgets by atleast by 60% without jeorpadising the safety such as Crew training and Maintanance.
If the Wages of the CEO is $ 30,000 to $40,000 per month he cant take a 50% pay cut and lead by example.A senior Management Pilot gets $ 8000-9000 per month and he can get a 35% pay cut .( Some get around $10,000 per month ) think about the savings.You cannot have the Job stabilty and Perks at the same time at this cruacial time.Even a F/O should be able to sacrifice 5-10 % of there wages too.
Somebody mentioned having Dr Hans as the CEO.well Dialog GSM expanded very fast and now strugling.So the CEO s taking a Pay cut of 50% and leading by example.He made it a point to send 300-400 middle level managers redundent too.Dialog was 3 times bigger than UL.
One must not forget some Airline staff worked free of charge to save their Jobs . I was told UL implemented a very good fuel saving plan but they need to do more than that to increase the value of assets than the liabilities in next years balance sheet as at 31 March 2010..
Last edited by BigJetJumbo; 19th Oct 2009 at 02:48.