Transport Minister Ab Aziz Kaprawi says the employees will be transferred to other KTMB subsidiary companies
KUALA LUMPUR: The 4,000 Keretapi Tanah Melayu Berhad (KTMB) employees will not lose their jobs after the company signs the Railway Network Access Agreement (RNAA) with Railway Assets Corporation.
Deputy Transport Minister Ab Aziz Kaprawi said the redundant workers will be transferred to other KTMB subsidiary companies.
“I can assure that the workers’ salary, interests and other benefits that they receive as KTMB workers will not be revoked or cut,” he said today.
Speaking at a press conference at the parliament media centre, Aziz explained that RNAA was an agreement between Railway Assets Corporation (RAC), an agency under the Transport Ministry, and KTMB.
The Sri Gading MP said the agreement will entitle RAC, which was previously only responsible for looking after the assets of KTMB, to interfere in its operations.
He assured that the agreement was in line with clause 89 of the Railway Act 1991, where it aims to distinguish the task of the train service operator.
Under the agreement, the train services will be managed by KTMB, while the ownership, management and management of the train assets will be managed by RAC.
Aziz also denied claims that such agreement would cause an increase in the ticket prices for consumers.
“RNAA will not cause an increase of the ticket prices and other services.
“Claims that the agreement would expose KTMB to leakages and cronyism is also incorrect,” Aziz said.
He added that the agreement would enable the management of each KTMB subsidiaries to focus more on their respective duties.