THAI strike delays flights

A strike by ground staff over pay and bonuses has delayed several flights by Thai Airways International (THAI) at Suvarnabhumi Airport in Bangkok.

The strike began on Friday in protest against the THAI board's decision to pay a 2012 bonus of just one month's salary and to limit salary increases to 4%.

THAI labour union president Jamsri Sukchoterat insisted on Saturday that the ground staff would continue their strike until THAI chairman Ampon Kittiampon complied with their demands.

The union wants a two-month bonus and a maximum salary increase of 7.5%.

Striking ground workers take shelter from the sun at Suvarnabhumi Airport on Saturday. The union wants staff bonuses doubled to two months' pay and pay raises of up to 7.5%, compared with 4% approved by the board. (Photo: Sutthiwit Chayutvoraken)

THAI president Sorajak Kasemsuvan said on Friday that the airline's net profit for 2012 was expected to exceed its estimate by 700 million baht. He declined to elaborate pending a formal report to the Stock Exchange of Thailand later this month.

In the first nine months of 2012, THAI earned a net profit of 3.86 billion baht, compared with a net loss of 4.8 billion in the same period in 2100.

It was reported that several flights of the national carrier and other airlines had been delayed since Saturday morning because all THAI ground staff stopped working to join the protest.

Transport Minister Chatchart Sithipan said on Saturday that he had ordered Mr Sorajak to immediately hold talks with the striking ground staff.

Mr Chatchart warned that if the strike affected passengers and flights at the airport, stringent penalties would be imposed against the strikers.

It was reported that some flights were delayed by about 10-15 minutes from normal schedules.

Mr Ampon said he had directed management to rapidly provide explanations to the ground staff about how THAI intended to divide its net profits.

The profits are to be divided into three parts. The first part will be for paying bonuses to staff, the second for dividends to shareholders, and the third will be for business expansion, he added.

Mr Sorajak cautioned on Friday that the airline had to be careful with currency management this year given the rapid appreciation of the baht in recent months. The national carrier earns about 70% of its revenue in foreign currencies, mainly dollars.

He said the healthy results in 2012 reflected a high cabin factor of 76.6%, the highest in five years, helped by a worldwide marketing drive. The airline's revenue target this year was 223 billion baht, representing 11% growth, he added.

Airports of Thailand, meanwhile, said on Saturday said the main cause of flight delays was not the strike, but bad weather overseas.

Passengers planning to travel can get flight updates by calling THAI at 02-356-1111.

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Source: http://www.news.thethailandlinks.com/2013/01/19/thai-strike-delays-flights/