KINIBIZ That Malaysia Airline System Bhd (MAS) is on life-support is not in doubt. According to statements made in the Dewan Rakyat last month when the Malaysia Airline System Bhd (Administration) Bill 2014 (the MAS Bill) was discussed:

(i) RM24 billion has been pumped into MAS in the last 15 years;

(ii) With 22,000 employees, the revenue generated annually by every MAS employee is US$240,000, whilst it is US$700,000 per SIA employee; and

(iii) For the first six months of this year, MAS suffered a loss of RM748 million, which works out to approximately RM5 million per day.

And yet, MAS is in deep trouble. Apart from financial haemorrhaging, MAS must be the only airline in the world which suffered two crashes within four months, killing some 500 people.

Having regard to the closing of some national airlines (Sabena and Alitalia come to mind) and also private airlines (TWA and PanAm) it is a question of great public importance whether it is in the national or public interest that tax-payer monies should continue to be wasted on a miserable business. Further, having regard to the deficit in the budget and the state of our national finances, can the country afford a national airline?

Anyone with even a passing interest in MAS will be aware that the two greatest problems that have afflicted it in the past 15 years is a bloated work-force and lop-sided contracts with third parties. There was never any courage or political will to resolve them, the problems worsened over the years, and losses accumulated.

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