Thai Airways to trim down staff to cut financial costs

Bangkok / DPA

Thai Airways International plans to trim more staff this year to stop the financial bleeding. The company has set a budget of 2.2 billion baht (US$63 million) for the new cost-cutting plan,” Narongchai Wongthanavimok, chief financial officer, said. There is still no targeted number nor time frame for this round, but it should begin in one or two months. Last year, the national carrier laid off 1,401 employees and spent more than 3.7 billion baht on the staff-reduction programme.
Management will ask each department to reveal its business plan along with resource management and any surplus that needs to be eliminated.
The airline posted a consolidated operating loss of 13.0 billion baht last year, although the final quarter showed a net profit of 5.4 billion baht.
A major factor for the improvement was an 11.2-per-cent reduction in expenses, resulting from rigid cost controls. The company is also selling up to 30 properties at home and abroad, such as office buildings and staff accommodation, to slash operating costs.

Leave a Reply

Send this to a friend