Industrial Tribunal rules that MIA’s decision to sack former CEO was justified

The Industrial Tribunal has concluded that the removal of Marcus Klaushofer from his post as CEO at the Malta International Airport (MIA) plc was justified because he had breached the confidentiality agreement with which he was bound.

Klaushofer began working as a CEO with the company in 2012 after both sides signed a contract on 25 January of that year.

The contract was for a period of three years in which he was to be paid €147,107 per year and a performance bonus which could not exceed more than 50% of his salary.

In 2014 his salary increased to €175,907 however on 21 January 2015, his employment was terminated.

Klaushofer asked the MIA for compensation but the company refused and he therefore opened a case in front of the Industrial Tribunal.

From the evidence which was submitted in front of the Tribunal, it results the the company began to suspect that he was passing on information of a confidential nature to third parties.

The company was worried that Klaushofer was passing on information to a company based in Paris called Antnin which was interested in buying shares in MIA.

After hearing both sides, the Chairman Edmond Tabone remarked that it had been proven that Klaushofer had requested certain information from certain employees and asked them to change the figures to make them look more positive so that the value of the shares would go up.

Klaushofer had also asked to negotiate a new contract for ten years at double the pay after Antnin buy MIA, while it resulted that he had even travelled to Paris where Antnin is based.

Tabone concluded that Klaushofer had breached the confidential policies which he himself was supposed to ensure were not breached and that he was in direct contact with a consortium interested in buying MIA.

“He was in such close contact that he began negotiating a new contract for himself when he had said he did not know that this consortium was interested in purchasing MIA.”

Tabone added that Klaushofer had twisted his words and that his actions went against his obligations to the company while saying that his position had placed MIA at risk.

He therefore concluded that his dismissal from CEO from the Malta International Airport was justified and turned down his request for compensation.

Klaushofer was represented by Dr Cedric Mifsud Dr Louis Degabriele and Dr Ron Galea Cavallazzi appeared for the MIA.