Railway union repeats call to scrap KTMB assets transfer move

November 15, 2017

PETALING JAYA: The KTM Employees Union (KPPKTMB) has reiterated its call to the government to terminate the Railway Network Access Agreement (RNAA), which it claims will hamper the CEO from transforming KTMB.

Union president Abdul Razak Md Hassan said RNAA gave absolute power to the government-owned Railway Assets Corporation (RAC) to carry out development for its own profit.

Any innovative idea proposed by KTMB’s CEO would be difficult to implement under the RNAA system, he said in a statement today.

The RNAA was signed between RAC and KTMB to allow the transfer of all of the railway company’s rolling stocks and land to the corporation. The exercise is expected to be completed next year.

The exercise is aimed at separating train service operations handled by KTMB from the ownership, management and maintenance of the train assets which will come under RAC.

On May 5, Razak was reported as warning that the RNAA carried huge implications for the employees and KTMB, from the perspective of service and national interest, and might lead to the retrenchment of 4,000 employees.

Razak said the union welcomed plans by CEO Mohd Rani Hisham Samsudin to use KTMB land in the Klang Valley for property development to generate income for the company.

“In order to achieve this innovative idea for the benefit of KTMB, the government should dissolve RAC.

“The ownership of all assets should also be returned to KTMB to enable the CEO to succeed in developing KTMB.”

He urged the government to give Rani Hisham, who was appointed by the prime minister, the opportunity to show his capability.

“The confidence of the prime minister needs to be brought in line with the change in the KTMB business model to look beyond the railway service.

“It is time for KTMB to expand its business, not just into property development but also the manufacturing of locomotives, coaches, commuter sets and others.”  [FMT]