MASEU sec-gen's remarks on termination package 'wrong and grossly misleading' - MAS

The comments by Malaysia Airlines System Employees Union (MASEU) on the termination package are "wrong and grossly misleading", said Malaysian Airline System Bhd (MAS).

MAS is referring to an article, 'Only half-month pay for MAS staff' in The Edge Financial Daily Monday, which quoted MASEU secretary-general Abdul Malek Ariff.

In a statement Monday, MAS said the article stated that on top of the termination payments based on a formula similar to existing collective agreements (CAs), exiting MAS employees covered by the CAs were "also entitled to ex-gratia payments".

The arguments attributed to Abdul Malek further implied that as such, the termination package short-changed exiting MAS employees, it said.

"This is wrong and entirely misleading as MASEU and MAS employees covered by the CAs have been clearly informed, the termination package provides for a total payment that is the same as that stipulated in the CAs.

"This total payment comprises a base payment given to all MAS employees, and an ex-gratia payment which is provided for voluntarily by MAS and its shareholders to exiting MAS employees," it said.

MAS added that over and above this, additional considerations had been given to the welfare of exiting employees.

"These include extending medical benefits for a year, payment for unutilised leave, and an additional 30 per cent termination payment for physically-challenged employees, single parents and married couples where both husband and wife are exiting," it said.

MAS said exiting employees also had free access to the training and placement services provided by the Corporate Development Centre, which to date has seen more than 1,000 registrations.

MAS said the termination package was carefully put together after due consultation, ensuring that it was fit for the restructuring's purpose and above all, transparent and fair.

"It is therefore regrettable that inaccurate and misleading statements are made and reported upon, and in this regard we remind and ask that all parties be more responsible and circumspect," it said.