Air Malta ground handling operations to be hived off into a new company

As part of the Air Malta revitalisation process, ground handling operations will be hived off into a separate company wholly owned by government.

A written agreement between Tourism minister Konrad Mizzi, on behalf of government, and the General Workers’ Union has been signed in order for all employees, represented by the General Workers’ Union, working in ground handling sections, to be assigned to a separate company as per Transfer of Business Regulations S.L. 452.85.

The agreement was concluded after several discussions led by President Emeritus Dr George Abela, Dr Charles Mangion on behalf of Air Malta, Ronald Mizzi, permanent secretary and Josef Bugeja and Sandro Vella on behalf of the GWU.

The sections affected are the Ground Handling Service Operations section, the Ground Equipment Maintenance section and the Cargo Operations section. The new company will provide services to Air Malta and other airlines.

During the signing Minister Mizzi said that this process is part of Air Malta’s revitalisation process. The new company will have a new business plan in order to generate further growth, investment in new equipment and generate new business. Dr Mangion, Air Malta chairman said that now the airline can focus more on its core business of flight operations.

In hiving off Air Malta’s ground handling services, both sides ensured that the employment conditions of all employees are safeguarded.

With regards to collective agreements, the minister mentioned that government, along with the Air Malta management and the General Workers’ Union, is negotiating collective agreements for both Air Malta and new ground handling company employees for the coming five years.

GWU secretary general Bugeja noted with satisfaction that the future of Air Malta and the new ground handling company employees will be safeguarded. He also highlighted the intent of further investment in both human resources and infrastructure by both companies.