Jakarta, CNBC Indonesia – Garuda Indonesia takes a number of policies in the context of company efficiency. This was done to maintain operational wheels amid the impact of the Covid-19 pandemic.
One of those taken is the early retirement offer for its employees. PT Garuda Indonesia President Director Irfan Sebuahutra stressed that this offer was voluntary.
“We voluntarily offer friends to take early retirement. Voluntary yes, there is no coercion,” he told CNBC Indonesia, Monday (6/7/20).
He stressed that the program was also accompanied by consultations involving workers. That is, the early retirement offered is done by mutual agreement.
“We provide opportunities for friends who, for example, have worked here for a long time, want to do something different and, for example, want to rest early, we allow you to take early retirement. But this is all voluntary, so there is no compulsion. If you don’t willing, still want to continue please, “he stressed again.
He said, there was an agreement with the Ministry of SOEs and Garuda’s trade unions, so as much as possible to avoid termination of employment (FLE). Even so, trimming employees is still being done for the sake of efficiency.
“When we talk about employees the tendency is to lay off. That’s the last thing we do if there really isn’t anything else we can do,” he said.
Now what has happened now is to speed up the contract period of employees who are not permanent employees. There are those whose contracts are not extended, others that are laid off.
“We ask to be laid off first, later if conditions improve the contract we will consider or we enter in the contract extension. For example, the contract period is only 4 months, then as soon as we can fly again, be active again as usual, we will add to the contract term of 4 months , “he explained
“On the other hand we are accelerating the completion of the contract by continuing to carry out the company’s obligations towards the contract employees, that is, we complete the payment until the contract period,” he continued.
Negotiable Airplane Rental
Garuda Indonesia is intensively renegotiating aircraft rental fees. This step was taken as a form of company efficiency amid the Covid-19 pandemic.
According to him, the cost of aircraft rental is one component that is quite significant in structure cost Garuda Indonesia.
“The lease of the aircraft is fixed (cost). Fly or not fly, filled or not filled, we must comply with an agreement that has occurred before. Because the majority of our aircraft are chartered,” he said.
In the last 3-4 months it has been aggressively seducing the lessors to reduce rental rates. He wants a significant price reduction.
“We are renegotiating with our lessors to be able to get a significant reduction in the rental price, which then has the implication of automatically extending the rental period of the aircraft we have today,” he said.
On the other hand, he hopes in the future there is an easier flight service mechanism. He considered, with a series of requirements and protocols that must be met by passengers, the impact on the decline in interest in traveling.
“The process for the future may not be as simple as it used to be, but it is not too long. So there may be an additional half hour or one or two hours of additional examinations,” he said.
He proposed that the additional conditions that had been applied to be accommodated in an integrated system. During this time, at each airport the conditions could be different and the inspection standards vary.
“In the future, these passengers, both domestic and international, will also hold a yellow book that we know in the past, for example, if we go for pilgrimage, as proof that you are free from Covid-19. This is an addition to your KTP and boarding pass,” he explained.
