Air Niugini announces 250 redundancies
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Air Niugini announces 250 redundancies
I understand some pilots (both local and expatriate) have already been given notice.
250 staff to go
Source:
The National, Thursday June 5th, 2014
By HELEN TARAWA
AIR Niugini is to lay off 250 workers starting this month as a cost-cutting measure “for the future benefit of the airline”.
An internal memorandum signed by company chief executive officer Simon Foo dated May 29 is being circulated among staff members notifying them of the management decision to lay off 10% of workers.
Foo is away overseas but confirmed in the statement that the cost-cutting exercise would be implemented through natural attrition, retirement, voluntary redundancy and redundancy. No comment could be obtained yesterday from the National Airlines
Workers Union. Questions have also been sent to Independent Public Business Corporation managing director Wasantha Kumarasiri on the matter.
The company says it will “address staff concerned accordingly to help the transition from the airline”.
According to the memorandum, the company is experiencing reduced passenger numbers after the completion of the PNG liquefied natural gas construction phase.
It also blames increasing costs and the depreciation of the Kina which the company cannot sustain.
The management says these issues should be addressed “for the future benefit of the airline”.
“Every aspect of the business is being reviewed with a view of improving productivity, efficiency and the way we currently do business,” the memo says.
“These necessary steps must happen to ensure the future of our airline and to allow the company to continue to be competitive and offer our customers affordable air travel.”
An airline employee who asked not to be identified said management should look at some other ways of cutting costs rather than reducing the workforce.
“Instead of creating unnecessary positions and hiring consultants or expatriates, it must cut down on these areas to minimise costs,” the worker said.
“As national staff, we have the right to work in that company. We have many local experts who are capable of working in those positions but the company is employing more expatriates in all management positions which is the main concern now for national staff.”
The worker said the union representing staff was weak and not doing anything to fight for their rights.
250 staff to go
Source:
The National, Thursday June 5th, 2014
By HELEN TARAWA
AIR Niugini is to lay off 250 workers starting this month as a cost-cutting measure “for the future benefit of the airline”.
An internal memorandum signed by company chief executive officer Simon Foo dated May 29 is being circulated among staff members notifying them of the management decision to lay off 10% of workers.
Foo is away overseas but confirmed in the statement that the cost-cutting exercise would be implemented through natural attrition, retirement, voluntary redundancy and redundancy. No comment could be obtained yesterday from the National Airlines
Workers Union. Questions have also been sent to Independent Public Business Corporation managing director Wasantha Kumarasiri on the matter.
The company says it will “address staff concerned accordingly to help the transition from the airline”.
According to the memorandum, the company is experiencing reduced passenger numbers after the completion of the PNG liquefied natural gas construction phase.
It also blames increasing costs and the depreciation of the Kina which the company cannot sustain.
The management says these issues should be addressed “for the future benefit of the airline”.
“Every aspect of the business is being reviewed with a view of improving productivity, efficiency and the way we currently do business,” the memo says.
“These necessary steps must happen to ensure the future of our airline and to allow the company to continue to be competitive and offer our customers affordable air travel.”
An airline employee who asked not to be identified said management should look at some other ways of cutting costs rather than reducing the workforce.
“Instead of creating unnecessary positions and hiring consultants or expatriates, it must cut down on these areas to minimise costs,” the worker said.
“As national staff, we have the right to work in that company. We have many local experts who are capable of working in those positions but the company is employing more expatriates in all management positions which is the main concern now for national staff.”
The worker said the union representing staff was weak and not doing anything to fight for their rights.
Moderator
This thread has been temporarily removed as many of the posts in the last 24 hours are not correct and sadly may jeopardising some people's employment - perhaps yours! Unusual step I know.
I will return the thread in a day or two when there is less risk and the situation is clearer.
Sorry about that chaps and chapesses!
I will return the thread in a day or two when there is less risk and the situation is clearer.
Sorry about that chaps and chapesses!
