31 May 2015
The special position enjoyed by government-linked companies (GLC) under Khazanah Nasional makes it difficult for Parliament's Public Accounts Committee (PAC) to conduct investigations or demand explanations from their management teams, the committee's chief said in response to calls to probe mismanagement in Malaysia Airlines.
Datuk Nur Jazlan Mohamed said that GLCs under Khazanah were not bound to offer explanation to PAC on what happens in their companies administratively, operationally or on their investments.
"This is what happened when PAC started to probe klia2 which comes under Malaysia Airports Holdings Bhd, a GLC under Khazanah, where until today, the government has yet to direct the Auditor-General to conduct an audit on its construction," Nur Jazlan told The Malaysian Insider.
"Although the transport minister said that he agreed that the A-G must run an audit on klia2 as recommended by PAC in its report tabled at the Dewan Rakyat in November, until today, the government has yet to instruct an audit on klia2. "
Nur Jazlan said that he was thankful for the trust placed in PAC by the National Union of Flight Attendants Malaysia (Nufam), which wants the committee to investigate and haul up MAS management on the wastage incurred in the airline.
Nufam's request followed news last week that MAS had bled massive losses over the years due to more than a hundred types of allowances, overtime claims, salaries and over-priced contracts.
"We have no problem calling them up but usually these GLCs under Khazanah will say they have discussed the issues, and it has been decided at the board stage that apart from having been audited by international audit firms, there was no misuse of power.
"So by right, the MAS board of directors has to be held accountable if there had been any wastage. The government representative in the board is the one who should be looking after the interest of the people in this case, and the interest of the employees," he added.
On Friday, Nufam urged PAC to haul up the MAS board to answer allegations by its newly-appointed chief executive Christoph Mueller on wastages incurred in the company.
They said this after The Star reported on the financial drain in MAS caused by, among others, 180 types of allowances paid to staff.
"The MAS board of directors should be called up by PAC. If there has been any abuse of power in MAS, PAC has to haul them up.
"The revelation by the new MAS CEO shows that there was wastage and misuse of power in MAS," Nufam president Ismail Nasaruddin had told The Malaysian Insider.
Ismail added that if what Mueller said was true, it was not fair that MAS employees were made victims and had to lose their jobs.
The new CEO was quoted as saying on Friday that huge overtime claims, over-priced contracts and salaries had added to the airline's financial drain.
He said the airline suffered greatly from “abuse of overtime”, and added that these payments were at times higher than salaries.
MAS is preparing to terminate one third of its workforce, and some 20,000 MAS employees will know their fate this week.
Only two-thirds of the workers will be re-employed under the rebranded airline, MAS Bhd, which will take off in September. – May 31, 2015.
Original Source: www.themalaysianinsider.com