Wednesday, October 12, 2011

PALpak

Epic Failure beyond proportions

This is how I would describe the management style (if there's any) of the Philippine Airlines, the country's flag carrier.

I don't know so much about the technicalities of the on-going cases against them (mostly labor-related). But by mere extraction of information from newspapers and television covers, I have reached a conclusion that there MUST be something wrong with the current PAL management led by Jaime Bautista, its president.

PAL's mass lay-off, which added about 2,600 souls in the bowels of unemployment purgatory, has been deeply criticized by different labor groups because of the injustices that PAL inflicts to its loyal and long-time employees. PAL, in turn, argues about the "legality" of their move because if it will not make such drastic measures, the flag carrier might eventually clip its wings for good.

However, there are a lot of questionable angles in PAL's decision. As an outsider, I would like to know whatever happened to their profit. If in case PAL is getting beaten up by other airlines, like Cebu Pacific, I ask, "Is mass lay-off the win-win solution?" Didn't PAL consider the ripple that this will create? A ripple that in the long run, will turn into a tsunami that would wash them out totally. I ask, "What did they do to keep up with the competition?" Certainly, removing regular and long-time employees is never the best answer.

An even more questionable move is the decision to outsource labor. A clever move on "profitability" but not much on sustainability, I guess. One PALEA member asked a very important question during one of the rallies, "Kami matagal na sa aming trabaho, yang mga yan, tuturuan pa. Gaano nila kaalam ang magiging trabaho nila?" He makes a lot of point. If these outsourced personnel will be on a contractual basis, how sure is their efficiency, accuracy, and most importantly, customer relations skills?

These are just some of the questions that popped out of my head upon observations. I don't really know so much about management and all that. But yesterday, I am sure that again PAL's managers mismanaged. A lot of domestic flights were cancelled to the dismay of a number of passengers. They said they weren't even notified. One passenger who was interviewed said she was from Bataan and came all the way to Manila only to find out that her flight was cancelled. PAL could've sent a simple text message informing her about the cancellation and saving her from the hassle. Apparently, PAL didn't mind at all. They just posted announcements printed in bond papers. Duh.

If this is a demolition job to finally end the decades-long flight supremacy of PAL, it's working. More and more passengers start to choose other airlines.


Epic Failure beyond proportions, translation: PAL-pak

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