Examination of Witnesses (Questions 220
- 230)
WEDNESDAY 8 DECEMBER 1999
SIR ROY
MCNULTY
AND MR
BILL SEMPLE
220. Completely incorrect? No-one was told anything
of the sort?
(Sir Roy McNulty) Nobody was told anything that those
words would summarise. Quite a number of our staff have been on
a course over the last several years to help them understand how
a private sector company operates; the place that profit plays
in that; but the place that other objectives also properly play
in that. If anyone said anything that could bear the construction
which you gave it, it is certainly no part of our policy and to
the best of my knowledge has not happened.
221. Can you tell us, therefore, why were staff
at the College of Air Traffic Control, Christchurch, threatened
with disciplinary action for signing a letter?
(Mr Semple) The staff were not threatened with disciplinary
action. What happened thereand I think we were right to
do itwas that within National Air Traffic Services there
are a set of rules. Every company has a set of rules. Those rules
apply to everybody in the company. They apply to the Chief Executive
and they apply to everybody else in the company. What happened
here was that those rules were broken. The people who wrote to
the media broke the rules that the company is required to live
by.
222. I thought you wanted your staff to be stakeholders,
Mr Semple?
(Mr Semple) We do.
223. Does that not include expressing an opinion?
A stakeholder does not actually say anything, is that it?
(Mr Semple) No, that is not true. All stakeholders
have to abide by rules too. This company has a set of rules which
apply to everybody in it. This group of staff broke those rules.
In those circumstances it was not unreasonable of us to take the
opportunity to ask those staff why they broke the rules. We have
now gone through that process. They have told us why they did
it. We have had a discussion with them and there is no disciplinary
action being taken against them.
224. So they were allowed to send another letter,
also signed?
(Mr Semple) No, they were not allowed to send another
letter.
225. So you have explained their position to
them?
(Mr Semple) Yes, because the company rules are that
staff will not write to the newspapers on company issues. That
is something they sign up to when they join the company. That
is not an unusual rule for companies to make, either in the private
sector or in the public sector. That is a very common rule.
226. I see. May I just ask you why you think
Air Traffic Services are on a par with an aviation company, Sir
Roy?
(Sir Roy McNulty) On a par in what sense?
227. Because you have quoted, both in this kind
letter which you sent to all members of the Committee, and to
everybody elseindeed, your colleagues in NATS have repeated
it toothat "it is not for me to comment on the political
aspects", (although you do not call it that), but you say
that companies like BA and the BAA have been in the private sector
many years. Surely an aviation company can look for new markets
by expanding its flights, by expanding its services, by offering
all sorts of incentives? How do you expand the services that are
going to be offered in relation to the control of planes in the
sky? I know you have told me it is growing. It has been growing
for some time.
(Sir Roy McNulty) It will grow by a natural increase
in traffic. Secondly, we believe that the provision of air traffic
control, probably world-wide but certainly in Europe, is going
to change radically in the next ten or 15 years.
228. Yet you do not know whether what you are
proposing would mesh in any way with EUROCONTROL?
(Sir Roy McNulty) I think it will mesh very well.
229. You "think" but there is no indication
that, in fact, a private firm, which is what this would be, would
be acceptable to a number of nations. It would still retain sector
control.
(Sir Roy McNulty) We are talking about a direction
over 10 or 15 years. If you have read, or you do read, the announcement
in the last week or soby the European Union, it made it quite
clear thatthey see the way forward as strengthening therole of
EUROCONTROL as the regulatorybody, but they also emphasise the
liberalisation/commercialisation/privatisation of Air Traffic
Services' provision; and they say if that is not opened up to
competition then the European Union will take steps to do so.
I think, in that way, our plans mesh very well.
230. That is an interesting attitude. Could
you please let us have a detailed break-down of the broad brush
figures you have given us today.
(Sir Roy McNulty) Certainly.
Chairman: Thank you very much.
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