Union proposal sent to THAI board

Commenting on last week's job action that affected THAI services, union president Chamsri Sukchotirat said it wanted people to understand that it had no choice, as most of its earlier requests to the management had gone unheeded.

Now the union is threatening to stage another protest demanding the resignation of THAI board chairman Ampon Kittiampon if its bonus and incentive proposal is not dealt with to its satisfaction.

After a discussion yesterday with the union, THAI president Sorachak Kasemsuwan said the company had explained its reasons for a one-month bonus, and the union had asked for an increase in the incentive-allowance budget from Bt200 million to Bt500 million.

THAI employs 26,000 people.

The management will forward the proposal to the board of directors, whose next meeting is scheduled for February 8. The union said it would take no further job action for now, but could make no promises about what it would do after the board meeting.

The union has also requested that the salaries of employees at Levels 1 through 7 be raised by 7.5 per cent.

"Preliminarily, the [proposed] rise in the incentive allowance [budget] will affect the company's cash flow, but not for dividends to be paid to the shareholders. THAI will make dividend payments as planned earlier," Sorachak said.

Chamsri accepted the offer of a one-month bonus, but also proposed a rise in the budget for incentive pay for diligent employee performance.

Previously, Ampon created some confusion by saying this year's profit was expected to be Bt7 billion, allowing a one-month bonus payment and a 4.5-per-cent salary raise.

In 2009, THAI recorded a profit but made no bonus payments.

In an interview with Krungthep Turakit TV yesterday, former THAI president Piyasavasti Amranand said the protest by the union last Friday might have stemmed from its dissatisfaction with the company's management and board. The union might view that the company and board fail to provide staff clear information on the airline's financial situation.

He added that the aviation business was highly volatile and many factors could affect it, ranging from local politics to global situations to oil prices.

He emphasised that the company must be able to communicate effectively with its staff.