The Malta Independent 24 April 2024, Wednesday
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Labour government should come clean with Air Malta employees, Nationalist Party says; PL reacts

Duncan Barry Wednesday, 29 October 2014, 12:25 Last update: about 10 years ago

Shadow minister for tourism Robert Arrigo has urged the government to come clean with Air Malta employees and the public in general and reply to concerns being raised, most particularly if Air Malta is to be sold and if negotiations are under way.

He also referred to the announcement made by Air Malta's chairman during a press conference on the  financial results  till March 2014 held yesterday where she said that the airline is to lose a substantial amount in losses by next year, around sixteen million euros.

Speaking during a news conference held at the party headquarters this morning, Mr Arrigo took umbrage over the fact that Air Malta is to face major losses, placing the blame on the fact that an additional 300 persons were engaged with the company recently, apart from the fact that 17 persons received a number of promotions.

He said that instead of Air Malta having broken even, in the two years under Labour Air Malta is to lose money.

Mr Arrigo said that the government's excuse for the losses is the Libya situation and competition.

"Competition always existed, while Libya encountered problems at a time when the PN was in government as well," he said, "so none of the two are valid excuses".

PN MP Kristy Debono said that the Opposition has an obligation to ask the government how it intends keeping the national airline sustainable and how it the government intends keeping our country's leading lifeline, Air Malta, going.

"What managerial vision has the government for the carrier?" she asked, adding that it is not only its employees who depend on the company but also other members of the public since the tourism sector is our bread and butter.

Backroom deals

She also echoed Mr Arrigo's words, calling on the government to refrain from engaging in back room deals and to state the real situation, that is if Air Malta is to be partially or fully sold to third parties.

Ground handling expenses costlier than ever

Mr Arrigo said that the ground handling expenses have become costlier than ever. He asked if the occupancy rate of Air Malta's carriers had increased.

He pointed out that the government needed to stay out of the way, referring to the chairman's words that she does not want any political interference. Mr Arrigo said that he is informed that the chairman bypasses everybody and directly reports to the office of the Prime Minister.

Recently, Louis Giordmaina, the CEO of Air Malta, resigned soon after the new chairman was appointed.

 

PN government's negotiations with EU on Air Malta 'a one time, last time deal', Busuttil says

PN leader Simon Busuttil said today that the PN government's negotiations with the EU to help bring Air Malta back on its feet is a one time, last time deal and this opportunity should never be jeopardized.

He was speaking during a meeting he held at his office in Pieta with representatives of the Federated Association of Travel and Tourism Agents (FATTA).

He said that the 300 or so individuals who were engaged with the airline recently at a time when Air Malta is in the middle of a restructuring plan is what one calls "political interference". He also referred to the new Air Malta chairman's comments yesterday who said that politicians should keep their hands off the national carrier.

He said that it is evident that their is massive government interference.

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Dr Busuttil also called on the government to state whether rumours that Air Malta is to be sold are true.

On FATTA's part, the representatives present said that it is vital Air Malta continues with its restructuring plan in the same way it did in the past.

FATTA said that the tourism numbers are what they are due to behind the scene efforts made by travel agents and the Malta Tourism Authority however, unfortunately, FATTA is not given its much deserved importance.

Dr Busuttil said the PN in Opposition will continue to engage in dialogue sessions with civil society.

 

PN should take a look at itself and evaluate why Air Malta is where it is today, PL says

The Labour Party, in response to the PN's news conference held earlier today on Air Malta, said that the PN's way of doing politics is to say the least "hypocritical".

"The same party has seemed to have forgotten that if the PN, when in government, had handled the airline in the correct manner, the national carrier would have never needed to undergo a restructuring plan in order to get back up on its feet again.

"Although Air Malta suffered losses once again, the losses were decreased to half; it would be more ideal had the PN looked at itself and evaluates why Air Malta is in the situation it is today," the PL said.

 

Tourism Minister slams political interference claims

In a statement, Tourism Minister Edward Zammit Lewis said that if there was someone who hasn't the credentials to speak on Air Malta's situation, it is the leader of the Opposition ad the party he represents.

"During the PN's tenure, Air Malta had ended up on the edge of a cliff and this is why a restructuring plan was implemented and the European Commission roped in," he said.

Dr Zammit Lewis denied that there is some form of political interference and if anything, there was never a time such as this when Air Malta is operating independently, without political interference.

 

 

 

 

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