Union Slams Management Over Bt6.3-Bn 9-Month Loss

[Flashermac]

The labour union of Thai Airways International has pleaded in writing to board chairman Ampon Kittiampon and president Sorajak Kasemsuvan that management come up with clear plans to improve the company's financial performance after it incurred a loss of Bt6.3 billion in the first nine months of the year.

 

The union will also submit the issue to Transport Minister Chadchart Sittipunt next week for his consideration.

 

"The loss that occurred over the first nine months is against the expectations of THAI employees, especially me, an aircraft technician," said Damrong Waikanee, president of the Thai Airways International Labour Union. "I have observed that over that period, every flight was almost full of passengers. However, the airline returned to loss amid claims by management that 17 aircraft had been delivered, resulting in a huge expenditure.

 

"The labour union takes the view that THAI's management needs to have a clear plan for bringing new aircraft into its service portfolio. Lacking such a plan means that management works without responsibility," he said.

 

Damrong said it should be observed that other airlines, such as Thai AirAsia and Nok Air, had achieved profits during this same period.

 

He added that the loss had damaged the morale of THAI employees, as they were concerned that it would mean no pay rises or bonuses for them despite their hard work.

 

"The employees have been seriously affected by the loss while the policy-makers, by which I mean the board of directors as well as management, which brings such policies into working procedures, have not suffered any impact," Damrong said.

 

"Recently a picture of Sorajak together with Thaksin Shinawatra, the former prime minister, appeared in the newspapers, resulting in dissatisfaction among employees towards such behaviour by Sorajak. Previously, the labour union urged the political sector not to interfere with Thai Airways. However, with this picture, it cannot being denied that the THAI president has become involved with politics," he said.

 

He added that what Sorajak needed to do during this time was to solve the internal problems of Thai Airways, not meet with such politicians.

 

Damrong said the union was concerned that listing Thai Smile on the Stock Exchange of Thailand to mobilise capital was like splitting THAI into many parts.

 

"If the government wants Thai Airways to have working flexibility, it should allow the airline to operate as a private enterprise," he said.

 

In the third quarter, THAI reported Bt51.3 billion in revenues, with a net loss of Bt6.1 billion. That compares with net profit of Bt1.8 billion in the same quarter of last year.

 

For the first nine months of 2013, THAI posted Bt156.9 billion in revenues, with a net loss of Bt6.3 billion. It posted net profit of Bt5.6 billion in the first nine months of last year.

 

 

http://www.nationmultimedia.com/business/Union-slams-management-over-Bt6-3-bn-9-month-loss-30220924.html