Air Jamaica UPDATE 4-28-2010
Cabinet approves Air Jamaica deal
Published: Wednesday | April 28, 2010
Cabinet has signed off on the divestment of the operations of Air Jamaica to Trinidad-operated Caribbean Airlines, after an emergency meeting yesterday.
The terms of the agreement between the Jamaican Government and the airline take effect on Friday.
The divestment, which has been delayed before, has been a contentious topic for several groups aligned to the airline.
Unions representing Air Jamaica employees, which clamoured for the intervention of the Ministry of Labour, objected to the process of the divestment.
"The labour laws are clear that, in the case of a redundancy, the parties must engage in negotiations, and that has not happened in the case of Air Jamaica," Vincent Morrison, president of the National Workers Union, told The Gleaner.
Caribbean Airlines was initially slated to take control of Air Jamaica on April 12, but this was delayed because of what the divestment team said was a need to continue the negotiations.
A press conference will be held today at 1 p.m at Air Jamaica's head offices at Harbour Street, downtown Kingston, where details of the divestment will be discussed.
Audley Shaw, minister of finance and the public service, will also make a statement on the matter in Parliament on May 4.
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