Restructuring plans will destroy Air Malta – pilots

Air Malta’s restructuring plans will lead to the destruction of the airline, not its recovery, according to the Airline Pilots’ Association.

In a statement yesterday, ALPA expressed concern over the Air Malta restructuring plan being prepared by Ernst and Young on behalf of the government and the airline.

“Details gathered in compiling these restructuring plans are distorted, rendering these plans indistinct,” the association said.

The association said it was unable to give further details to substantiate its claim due to a confidentiality agreement.

It said, however, that its own proposed plan was quickly disregarded by the restructuring committee.

“We have offered our services to both the company and the government; nevertheless, this was completely ignored. Our plan would be to organise and ensure company assets are used up to the maximum. It does not involve the company going into big debts,” ALPA said.

While pointing out that it did not believe in industrial disputes, especially during these times, the association said it had tried to contact the Prime Minister to inform him of the developments, but had not received any response.

The government is expected to shed around half of its 1,200-strong workforce in its mission to rescue the national airline, which experienced heavy financial losses in recent years.

Late last year, the European Commission gave the government the go-ahead to pump €52 million in emergency aid into the airline as long as a rescue plan was in place.

A spokesman from the Finance Ministry told The Sunday Times he failed to understand the need for ALPA’s statement.

“Stakeholders have been presented by a plan as proposed by Ernst & Young. The members of the restructuring committee have been invited to review and present feedback and therefore any further comments are superfluous,” the ministry said.