September 12,2009
All seven unions at Japan Airlines (JAL), including the captains’ union, on September 10 called on JAL to give priority to safe flights in its management improvement plan.
JAL, in response to the proposals from a transport ministry panel, is considering the plan to drastically cut personnel costs in addition to a review of unprofitable routes.
“This plan depends simply on cuts in payroll costs and does absolutely nothing to rescue its management. The need is for JAL to have a plan that attaches the most importance on flight safety while looking deep into the true cause of falling business,” said Kiyota Hitoshi, representative of a liaison council consisting of the seven unions.
Kiyota pointed out that JAL has been turning a profit from its core business for the last seven years and that the root cause of deficits is coming from outside its operating expenses.
For example, despite having ten jumbo jets unused, JAL is considering buying an excess number of new aircraft, leaving unprofitable international or domestic flights as they are. All these are because of foreign pressure and wasteful government projects to construct airports, though new airports are incapable of attracting many customers.
Kiyota said, “Without revealing the fact that maintaining unprofitable routes and the wasteful purchase of airplanes are the real factors behind stagnation, JAL cannot come up with realistic measures to restore its management.”
JAL is planning to split up and outsource its maintenance sector to a subsidiary, and has already introduced an evaluation system for cabin attendants, which is contributing to undermine CAs’ morale and efficient teamwork essential for safe flights. The company also reduced the basic salary of all JAL employees and pilots.
Kiyota said, “What JAL is considering doing will threaten safe flight operations although this is a very important consideration for airline companies.”
JAL, in response to the proposals from a transport ministry panel, is considering the plan to drastically cut personnel costs in addition to a review of unprofitable routes.
“This plan depends simply on cuts in payroll costs and does absolutely nothing to rescue its management. The need is for JAL to have a plan that attaches the most importance on flight safety while looking deep into the true cause of falling business,” said Kiyota Hitoshi, representative of a liaison council consisting of the seven unions.
Kiyota pointed out that JAL has been turning a profit from its core business for the last seven years and that the root cause of deficits is coming from outside its operating expenses.
For example, despite having ten jumbo jets unused, JAL is considering buying an excess number of new aircraft, leaving unprofitable international or domestic flights as they are. All these are because of foreign pressure and wasteful government projects to construct airports, though new airports are incapable of attracting many customers.
Kiyota said, “Without revealing the fact that maintaining unprofitable routes and the wasteful purchase of airplanes are the real factors behind stagnation, JAL cannot come up with realistic measures to restore its management.”
JAL is planning to split up and outsource its maintenance sector to a subsidiary, and has already introduced an evaluation system for cabin attendants, which is contributing to undermine CAs’ morale and efficient teamwork essential for safe flights. The company also reduced the basic salary of all JAL employees and pilots.
Kiyota said, “What JAL is considering doing will threaten safe flight operations although this is a very important consideration for airline companies.”
