By Nantha Gopal Muniandy and Dr Nagathisen Katahenggam

The storm brewing in the Malaysian aviation sector began in April 2022, when Singapore Airlines Engineering Company (SIAEC) secured a 15-year lease, with a 15-year extension option, for two Subang Airports hangers for 15 years, enhancing its Maintenance, Repair and Overhaul (MRO) capacity.

This resulted in an immediate vacancy which needed to be filled by SIAEC for it to operate.

CAAM audit report

According to an audit conducted by the Civil Aviation Authority of Malaysia (CAAM), 63 out of 411 qualified employees of MAB Engineering Services have resigned from the company since January 2024[1], lured by attractive salaries, perks and prospects from competitors.

Given the high demand for technically certified maintenance staff and aircraft engineers, it's understandable that they pursued new and promising opportunities.

In addition, the government’s Subang Airport Regeneration Plan (SARP) to transform the Sultan Abdul Aziz Airport (Subang Airport) into a premium city hub to resume commercial jet services[2], further fuels MRO demand.

Increased scrutiny over technical challenges

The national carrier has faced increased scrutiny over technical challenges, with eight Malaysia Airlines aircraft affected over two months, including six that had to Return to Bay (RTB), make emergency landings, and be diverted to other airports within 28 days.

These issues have sparked concerns about safety and management. Though not unusual for a carrier of its scale, it requires robust solutions to maintain the safety and reliability of its operations amidst the resurgence of post-Covid-19 air travel.

Malaysia Aviation Group, the parent company of the airlines, must be commended for making the difficult decision to reduce up to 18% of their capacity through 2024, primarily affecting their domestic network while safeguarding international operations.

Efforts to regain customer trust

Efforts to regain customer trust include enhancing aircraft safety, recruiting experienced workers, and obtaining sufficient aircraft engine spare parts from the Original Equipment Manufacturers (OEMs), prioritising the safety of passengers, crew, cargo and aircraft.

On the other hand, the Ministry of Transport, Malaysia has mandated monthly reports on mitigation plans to ensure compliance, alongside reducing the Air Operator Certificate (AOC) renewal period to one year[3].

This allows more frequent audits by CAAM and presents an opportunity for the airline to shape its marketing campaign around safety measures. Using the consistent audit process, with testimonials from experts, Malaysia Airlines can effectively demonstrate its commitment to safety.

Addressing technical staff shortage

To address the technical staff shortage, a long-term strategy focused on developing the talent pool through Technical and Vocational Education and Training (TVET) should be implemented.

Extended partnerships with regional or international organisations for training and skill development would encourage long-term commitment and loyalty. Technical institutes can be co-opted for a more active involvement in providing well-trained staff who can also be contractually bonded with the airline for long-term commitment.

Improve transparency and sharing technical issues and contingency plans

To regain consumer trust, the airline must improve transparency by promptly sharing details on technical issues and contingency plans, ensuring customers are informed and reassured during disruptions.

Leveraging transparent communication can also help the airline mitigate negative perceptions stemming from recent incidents, such as emergency landings and aircraft delays.

Moreover, retaining skilled staff is critical for the airline’s operational stability and growth. With significant attrition of technically certified staff and engineers lured by better opportunities, Malaysia Airlines must implement a robust incentive framework. In this regard, a salary parity review can be conducted periodically to ensure the remunerations remain competitive with other regional competitors. This initiative can help to attract and retain top talent.

It is crucial to remember that the global aviation sector is heavily regulated and that, to guarantee passenger safety, airlines must perform comprehensive maintenance and inspections on every aircraft. By refocusing the discussion on Malaysia Airlines to the implementation of proactive safety measures, we can foster a renewed sense of confidence and trust in our flag carrier among customers.

-- BERNAMA

Nantha Gopal Muniandy is a lecturer, while Dr Nagathisen Katahenggam is a Senior Lecturer at the School of Hospitality, Tourism and Events, Faculty of Social Science and Leisure Management, Taylor’s University.

[1] https://www.nst.com.my/news/nation/2024/08/1097823/malaysia-airlines-hit-staff-resignations-causing-flight-disruptions

[2] https://themalaysianreserve.com/2024/03/27/the-subang-airport-regeneration-plan-transforming-sultan-abdul-aziz-shah-airport/#google_vignette

[3].https://www.malaymail.com/news/malaysia/2024/08/28/transport-minister-caam-cuts-malaysia-airlines-operator-certificate-from-three-years-to-one-year-amid-operational-issues/148474