- POSTED: 26 Aug 2014 17:10
- UPDATED: 26 Aug 2014 20:12
About 25 per cent of Malaysia Airlines’ 20,000 employees could lose their jobs under a restructuring plan, according to media reports.
KUALA LUMPUR: About 25 per cent of Malaysia Airlines’ 20,000 employees could lose their jobs under a restructuring plan, according to media reports.
According to Wall Street Journal, the troubled carrier is likely to cut a quarter of its workforce. Reuters also said the restructuring plan could include the loss of up to 5,000-6,000 jobs, citing a source with direct knowledge of the matter. However, Chinese media reports also said only up to 4,000 workers will lose their jobs.
The restructuring plan is also reportedly set to include route cuts and a new CEO for the company. Malaysian state fund Khazanah, the airline’s majority owner, is expected to announce the overhaul as early as Aug 28.
The carrier has struggled amid intense competition, losing US$1.3 billion over the past three years. The twin aviation tragedies of MH17 and MH370 have further pummelled its earnings. Media reports said the airline is burning US$2 million every day, as pictures on social media reportedly showed almost-empty cabins on Malaysia Airlines flights.