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Disregarding Rival Companies Will Not Help MAS

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October 27, 2009 20:18 PM

 

Disregarding Rival Companies Will Not Help MAS

 

KUALA LUMPUR, Oct 27 (Bernama) -- Problems pertaining to finance and management in Malaysian Airlines (MAS) cannot be resolved by disregarding or denying growth of rival companies, the Dewan Negara was told Tuesday.

 

Salahuddin Ayub (PAS-Kubang Kerian) said MAS should instead be more competitive to compete with its rivals, especially AirAsia, by having better business plans.

 

"I admit that MAS has to be maintained, but not by being angry or preventing companies or whoever that want to have business deals with Air Asia.

 

"MAS has to have a positive approach for its future and be pro-business minded," he said when he stood up to intervene when Datuk Wira Ahmad Hamzah (BN-Jasin) was debating the Supply Bill 2010.

 

Salahuddin said he disagreed with a proposal by Ahmad to make it compulsory for all ministries, agencies, government-linked companies and public institutions of higher learning to use MAS.

 

-- BERNAMA

http://bernama.com/bernama/v3/news_lite.php?id=450287

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MAS got special privileges? Don't tell me it's called 'Ketuanan MAS'!

 

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October 28, 2009 21:34 PM

 

MASEU Slams Salahuddin For Questioning MAS' Special Privileges

 

KUALA LUMPUR, Oct 28 (Bernama) -- The Malaysia Airlines System Employees Union (MASEU) today slammed Kubang Kerian Member of Parliament Salahuddin Ayub who proposed that no privileges be given to Malaysia Airlines (MAS).

 

Salahuddin, who is also PAS vice-president, yesterday urged the government to let the national airline company to compete fairly with its rivals, especially AirAsia.

 

"Salahuddin must make sure that he really understands the aviation industry model, namely between the premium service and the low-cost carrier," MASEU executive secretary Mustafar Maarof said in a statement here Wednesday.

 

He said MAS was a government-linked company which could not simply make decisions to increase or reduce its routes, as compared to AirAsia.

 

"Most of the important decisions will only be made upon discussions with the minister and approved by the Cabinet," he said.

 

Mustafar said so far over 50 airline companies worldwide had recorded drastic losses over the past 18 months following the global economic downturn, oil price crisis and the drop in the demand.

 

"In the aviation sector, the recovery process will take quite some time because the business operations are too complex," Mustafar said.

 

As the national airline company where the government is the biggest stakeholder, MAS' organisational structure did not allow any individual to make a decision at his own whim and fancy.

 

"MAS is the pride of the nation. It takes the Malaysian flag across the globe. So, MASEU will not agree to Salahuddin's statement which questioned the special privileges accorded to MAS," he added.

 

-- BERNAMA

http://bernama.com/bernama/v5/news_lite.php?id=450651

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"MAS is the pride of the nation. It takes the Malaysian flag across the globe. So, MASEU will not agree to Salahuddin's statement which questioned the special privileges accorded to MAS," he added.

 

Flag carriers are a thing of the past. The union should think of a way to make MAS profitable and powerful, not wait for "Special Privileges"!

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He said MAS was a government-linked company which could not simply make decisions to increase or reduce its routes, as compared to AirAsia.

 

"Most of the important decisions will only be made upon discussions with the minister and approved by the Cabinet," he said.

 

As the national airline company where the government is the biggest stakeholder, MAS' organisational structure did not allow any individual to make a decision at his own whim and fancy.

Air Asia doesn't have stake holders to answer to? Air Asia doesn't run their decisions through their board before making them? MASEU should have stayed out of the food fight because comments like these only serve to cement my impression of their mindset and how far removed they are from reality. No airline only has one person calling all the shots. Business decisions are thoroughly discussed, analysed and studied before being pushed through. The only difference is what these two different parties do with the results of the studies and whether they want to act on it.

 

It was always an easy excuse to blame your current predicament on government beauracracy and red tape. If the red tape is too thick, thin it. If you do not want to do that, then be prepared to be the laughing stock of the region.

 

Look at Garuda and how they have transformed themselves. 100% government owned too!

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And what about Singapore Airlines? Substantially govt. owned, is a full fare legacy and flag carrier too. I rest my case... :D

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