No more staff retrenchment – Malaysia Airlines CEO


KUALA LUMPUR, July 20 ― There will no more staff retrenchment and route cuts, newly appointed Malaysia Airlines Berhad (MAB) chief executive officer Peter Bellew pledged.

The national carrier trimmed 6,000 jobs and reduced its route network by 30 per cent under Bellew’s predecessor Christoph Mueller, which Bellew reportedly said was sufficient and that the airline was looking towards boosting passenger loads by more than 70 per cent now.

“Most of the cost cutting is done, now it is about refinement. We have got better in our purchasing, handling cost is 50 per cent lower, catering cost is 20 per cent lose and fuel five to six per cent lower.

“It is getting much better. We need to be nimble and fly smarter,” he was reported saying by The Star newspaper.

Bellew also reportedly saw no need for a change in the staff uniform currently, which had previously stirred up a controversy. but would be going ahead with the plan late next year.

“We will only introduce it late next year,” he was quoted saying.

Bellew, who was appointed chief executive officer on July 1, added that MAS was looking to add over six to eight destinations in Asia next year, as well as refurbishing its flights to improve quality and service.

MAS is also looking to price its tickets at more competitive prices for the economy class and even be more “generous” with their frequent flier points, a loyalty reward scheme for passengers.

“We are putting more fares in the lower bucket and they will be available when you book. Previously, the fates started from the medium to relatively higher but now, we will have 15 to 20 per cent seats on this relatively lower fares and work progressively.

“This is not something we did previously but what most airlines do. We are changing the airfare pricing policy to offer greater value,” Bellew stressed.

The Irish-born former Ryanair executive replaced Mueller — who announced his resignation in April, citing personal reasons, after serving the carrier for only a year.

Prior to the promotion, he was chief operating officer of MAB. He is also an executive director at Malaysia Aviation Group Berhad, MAB’s parent company. -The Malay Mail


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