Aeroflot"s trade unions yet again call for a new General Director to replace Okulov.

Published: 3/10/2000

Once again Valery Okulov, Director General of Aeroflot, has come under pressure from the company's trade union leaders, with Sergey Plevako, the head of Aeroflot's trade union, calling for an AGM to vote for his replacement. The union is citing Okulov as being the main reason for Aeroflot's employees being unable to sign any collective agreement over the last four years and suggesting that employee's anger could affect the safety of flights. In July 1999, the trade union leaders claimed that the recent vote for board members had been rigged following the failure to elect a trade union representative. This dispute also brought back to the surface the long-simmering debate about Okulov's management of Aeroflot. Earlier this year, Okulov set out his vision for the airline and attempted to quell rumours that had been circulating on the carrier's future. However, Anatoly Brylov, executive secretary on Aeroflot's board of directors, has said that Okulov was elected onto the board in May 1997 and cannot be re-elected until this term expires. The board of Aeroflot had therefore decided against any elections at this AGM. Since his re-election in July 1997, Okulov has distanced the management of the company from Boris Berezovsky and his associates by ejecting from the company two figures closely associated with Berezovsky, Alexander Krasnenker and Nikolai Glushnov. It could be conjectured that these moves by Plevako suggest his support for Berezovsky's interests. However, at the last AGM, Plevako and other members of the trade union did not speak favourably about Berezovsky and his team in Aeroflot. So perhaps this is yet another attempt of the trade union to protect entrenched interests formmoves that would substantially impact their members in any significant restructuring such as the further adoption of western aircraft, a major bone of contention with the management, which would lead to lower labour requirements.

Article ID: 1661