HH the Crown Prince Sheikh Nawaf Al-Ahmad Al-Jaber Al-Sabah received Sunday at Sief Palace HH the Prime Minster Sheikh Jaber Al-Mubarak Al-Hamad Al-Sabah
Decree on KAC planned if 2009 parliament dissolved Al-Utheina attends KAEPA Ghabga
KUWAIT CITY, Aug 5, (KUNA): An urgency decree transforming Kuwait Airways Corporation (KAC) to a company run by Kuwait Investment Authority (KIA) will be approved if the 2009 parliament is officially dissolved, said Minister of Communications and Acting Minister of Social Affairs and Labor Salem Muthiab Al-Utheina.
Speaking to the press on the sideline of the Ramadan Ghabga held by the Kuwait Aircraft Engineers and Pilots Association (KAEPA) late Saturday, Al-Utheina stated that “the transformation would enable KAC’s Executive Board to purchase or rent new aircrafts.” He indicated that this was the visualized solution to tackle problems facing KAC. Al-Utheina also said that he was sorry to know that KAC had recorded KD 180 million in losses in the previous period, noting that the privatization of KAC would lead to less bureaucracy and more income.
The minister was asked about the rights of KAC employees after privatization and said that employees had three options which consist of retirement and receiving benefits for an estimated period of three years, seeking work at the public sector, or transfer to a new company.
In regards KD 135 million special budget for KAC retirees, Al-Utheina said that all who seek this option would receive their benefits.
Al-Utheina als#o spoke about the halt of some KAC aircrafts, saying that the current Executive Board took the decision to gradually halt all of the corporation’s fleet but taking into consideration the current traveling season which coincided with Ramadan.
On the issue of Iraqi compensations to KAC, Al-Utheina said that four meetings with the Iraqi side was held with the outcome of the meetings resulting in an agreement that Kuwait would receive a sum of KD 500 million in 2012-13.
Meanwhile, chairman of the board for KAEPA Khaled Al-Otaibi called for hastening the privatization of KAC within parameters that would ensure the rights of its employees.
He also called for updating the KAC fleet, affirming that such step was a “national obligation” which required a tremendous amount of work to achieve.