Addendum
Cathay Pacific CEO’s baptism of fire as protests continue across Hong Kong
September 1st 2019
A fortnight into his new job as CEO, Augustus Tang’s leadership of Cathay Pacific has been tested at every level of the airline group’s operations. Read More » In the four weeks since July 26, staff have been stretched to the limit as the airline struggled, and succeeded, in restoring full flight operations and service after occupations firstly at the airport and later in adjacent precincts and on roads and trains servicing Cathay’s home hub.
At press time, Cathay Pacific parent, Swire Pacific, announced Tang would have a new chairman, Patrick Healy, following the resignation of current chairman, John Slosar. Sixty three-year-old Slosar has spent 39 years with the Swire group working in Hong Kong, China, the U.S. and Thailand. He was CEO of Cathay Pacific for three years from mid-2011 and appointed Swire Pacific chairman from 2014 to earlier this year. He will have held the position of the airline group’s chairman for more than five years when he steps down in November.
Tang, who has spent the last 11 years as CEO of HAECO, the wholly-owned MRO arm of the Swire Pacific Group, joined the conglomerate in 1982. He has worked in several departments at Cathay and Cathay Dragon (then Dragonair) and in Malaysia and Japan. He was part of a small group of well-regarded high flyers that included future CEOs, Philip Chen and Ivan Chu.
In a letter of August 23, emailed to the members of the airline’s loyalty program, the Marco Polo Club, Tang said: “the events that have transpired in recent weeks have been some of the most challenging we have ever experienced, both as a city and as an airline.
“However, we face these challenges in the knowledge that Hong Kong and Cathay Pacific have overcome many challenges throughout our 73-year-old history, each time emerging stronger as a result. I believe this time will be no different.”
In mid-August, regulators at China’s Civil Aviation Administration of China (CAAC) informed Swire Pacific chairman, Merlin Swire, and the group’s leadership team of its dissatisfaction with the response to staff members who supported Hong Kong’s anti-government protests.
Framed as a safety issue, Beijing’s unhappiness cost popular CEO, Rupert Hogg, his job along with chief customer and commercial officer (CCO), Paul Loo. Both resigned on August 16. Supporting Tang is new CCO, Ronald Lam, who had spent barely a month as CEO of Cathay’s newly acquired LCC, HK Express, before being recalled to the mainline carrier. Lam also is the new chairman of HK Express and Cathay executive, Mandy Ng, its CEO.
Swire Pacific director of corporate affairs, James Tong, has added the role of director of Cathay Pacific corporate affairs to his responsibilities.
Since the CAAC dressing down, at least 20 employees at the two airlines and its subsidies have been sacked, allegedly for expressing views that support Hong Kong protestors.
Tang’s immediate tasks will be to arrest a decline in passenger bookings, boost collapsed staff morale and keep the CAAC happy.
