Ordinary Aviation workers are fearing for their jobs once the National Aviation Management Bill, 2020, that seeks to make KQ a parastatal is passed.
Speaking to Hot News, the workers said they have read the bill and that it “takes away their jobs”
They have called on COTU and Francis Atwoli to “come to their recue”
The Bill was tabled in the National Assembly last month by former Majority Leader Aden Duale.
The workers said formation of new entities like Kenya Aviation Corporation (KAC), National Civil Aviation Council and Aviation Investment Corporation will make them redundant.
“Where will we go. The Government wants to render us jobless. These new entities will mean we seek for jobs afresh” said Job Masika a cleaning agent at JKIA.
The workers said they will join their employers to oppose the bill.
“Now that the opposition is in bed with the Government. Where will we go? We are appealing to COTU to come to our rescue! If the Bill is passed, we are doomed!” Masika added
During a Zoom meeting last week, stakeholders said Senior Government officials interested in Ground handling business, Duty free shops, Tours and Travel, Transport, Parking, fueling of jets and those who have land around the airport are the people sponsoring the bill.
The bill seeks to have KQ and KAA merged to form Kenya Aviation Corporation (KAC).
Stakeholders said KAA makes a profit of shs 13 billion per year whereas KQ makes loses in billions.
The Bill is coming up for public participation.
The stakeholders said they have instructed lawyers to go to court and have the bill dropped.
They said they will talk to the Transport Committee in Parliament and ask that the bill is dropped because its “illegal and unconstitutional”
Last month, it was revealed that the lease agreements between KAA and Aviation operators will be dropped until the bill is passed.
The stakeholders also complained that the Attorney General was not instrumental in drafting the bill but that it was drafted by a top state House Honcho.
The bill proposes the formation of an Aviation Investment Corporation.
The Corporation will own Aviation schools, offer maintenance, and repair services, flight catering and other Ancillary services.
According to media reports, President Uhuru Kenyatta seeks to grow earnings from the sector to Sh200 billion and double passenger numbers to eight million in five years.
The president is proposed to chair the powerful National Civil Aviation Council.
The stakeholders wondered why the council is structured in almost a similar manner as the National Security Council.
The President is the chairperson with membership that includes the Attorney General and Kenya Air Force Commander.
Stakeholders said the Bill seeks to kill KAA and militarize the Aviation sector.
The proposed corporation – known as the group – will be run by a chief executive officer and its initial capital is proposed to be Sh7.5 billion.
KAA’s initial capital is set at Sh66 billion while that of the Investment Corporation – a special purpose vehicle – will be Sh1 million divided into 50,000 ordinary shares.
The workers wondered how an operator and regulator can be merged!
They said this will compromise the Aviation sector and change the stakes for key stakeholders and lead to job losses for workers.
The stakeholders include a consortium of local banks and sky team partners, Royal Dutch Airlines and Air France.
Those who own several businesses in Kenya Airports said the proposals are in breach of aviation protocols and go against international best practice.
The Cabinet secretaries for Transport, Interior, National Treasury as well as the Attorney General Kariuki Kihara and the Kenya Air Force Commander, are the proposed members of the council.
The President will appoint the board chairperson of the proposed corporation.
If the Bill passes as it is, the Kenya Airports Authority Act will be repealed, meaning KAA and KQ board members’ terms will lapse.
The Aviation holding company has been exempt from certain laws that tied it down due to bureaucracy that many State-owned entities must grapple with.
The managing directors of KQ, KAA, and Aviation Investment Corporation will report to the group CEO.
The corporation will run aviation training schools, handle maintenance and repairs, aircraft handling, flight catering, aviation medical services, tour, and holiday management services.
If MPs pass the Bill, the new KQ will be wholly owned by the government after it acquires 100 per cent of the equity interest in Kenya Airways PLC.
“The registrar of companies will, on the vesting date, enter Kenya Airways into the register of companies and issue a certificate of registration noting its status as a state-owned entity,” reads the Bill.
The Stakeholders were very emotional.
“The CEO will hold office for four years and shall be eligible for re–appointment for one further term subject to satisfactory performance,” states the Bill.
The fund will receive passenger service charges, monies appropriated by Parliament, state grants and loans, donations, and surplus income earned by KQ, KAA and AIC.
Kenya Airways will be a carrier of air passengers, cargo, mail, and goods in Kenya; and undertake other businesses related to air transport.
It will also acquire, hire, sell and lease aircraft.