Air Vanuatu staff paid despite inactivity, EY memo reveals
August 24, 2024 8:00 am | Posted in Business News | Share now TwitterFacebook
By Doddy Morris.
An internal memo from EY, the firm overseeing the liquidation of Air Vanuatu, has raised concerns about staff being paid despite not having any duties to perform.
The memo, issued to the airline’s remaining employees, highlights a growing issue where a significant portion of the workforce is not showing up for work or performing their duties on time, even as they continue to receive government-funded salaries.
Signed by Morgan Kelly, Joint Liquidator with Justin Walsh, Andrew Hanson, the Memo addressed to all employees of the Company including those who are part time and casual.
“As Air Vanuatu restart their phased return to service, it is imperative that employees adhere to the official business hours of the Company or the specific roster under which you are scheduled to work.
“Effective immediately, all managers with supervisory responsibility are required to monitor their staff’s attendance and submit a fortnightly report to the HR department for payroll processing including the following content; Names of employees who are not complying with this directive and The total number of hours of absence or lateness — which will be subject to salary deductions,” the Memo states.
The Memo further states that Salary deductions for non-compliance will commence 16 August 2024. All staff must have registered on the clock in system before this date. Failure to do so will result in salary deductions.
However, it was reported by a source that this situation has been particularly troubling for local creditors, who are facing losses with an offer of 0.05c USD per dollar owed as a settlement.
“Air Vanuatu and EY have three remaining 737 management pilots, who have not flown since early January, yet have continued to be paid on full wage for the past six months. The proposed and favored 51% investment by a European consortium will result in a transition to Airbus aircraft,” the source also revealed.
