Malaysia Airlines will lay off thousands of employees and reduce operations

Malaysia Airlines
lay off 6,000 workers as part of a reform to overcome the brutal brand that disasters left the MH370 flight, with 239 passengers lost, and MH17, demolished in Ukraine with 298 people.

Staff reductions represent approximately 30% of its current workforce of 20,000 employees.
In addition, the airline will reduce its workforce and its operations pending the appointment of a new CEO, whose mission is to revive the company to the edge after the two plane crashes.


The public fund Khazanah Nasional investors, with 70% of its capital, wants to inject millions of euros in exchange for a reduction in the company in order to make it profitable in the next three years.
"The combination of these measures announced today (Friday) allow resurrect our national airline", said the head of the fund, Azman Mokhtar, during a press conference.

Khazanah Nasional Bhd, the Malaysian state investment firm, owns 70% of the shares of the airline and on 8 August announced privatization plans to stem losses, the newspaper reported The Malaysian Insider.
The airline will be under full government control. The state investment company plans to take 100% ownership.
The Malaysian company nearly doubled its losses in the second quarter to report a breach of 307 million ringgit (€ 97.29 million), up from 176 million ringgit in the same period in 2013.
Looking for a strategy to modernize its fleet
Losses widened after the airline suffered two major disasters with the mysterious disappearance of flight MH370, with 239 people on board, and the downing of flight MH17 in eastern Ukraine, with 289 passengers.
"The full impact of the two tragedies of MH370 and MH17 hit the airline in the second half of the year, where we have seen a drop in weekly bookings of 33% after the incident of MH17," the airline said in the statement.
In the same report, presented at the stock exchange in Kuala Lumpur, said Khazanah will work for the airline to recover its profitability within the next three years.
The airline and its major shareholders are in talks with banks for a strategic reformulation, which may include the partial sale of its engineering and modernize its aging fleet.
With information from AP, AFP and Notimex.