Air India staring at fresh bout of unrest | Latest News India - Hindustan Times
close_game
close_game

Air India staring at fresh bout of unrest

None | By, New Delhi
Jan 25, 2012 02:05 AM IST

Air India workers and management could be headed for a fresh face-off if the recommendations of a top government panel that allowances and perks be held back until the airline turns profitable are accepted, Tushar Srivastava writes.

Air India workers and management could be headed for a fresh face-off if the recommendations of a top government panel that allowances and perks be held back until the airline turns profitable are accepted.

HT Image
HT Image

"AI can ill-afford these costs at this juncture. The management should take steps to right-size the organisation, freeze recruitment and even consider VRS in non-core areas," an officers' panel has said in a report to the government.

Hindustan Times - your fastest source for breaking news! Read now.

Pilot unions warned of grave consequences if the recommendations were accepted. "Allowances account for 70% of a pilot's remuneration. Any move to slash these would have serious repercussions," said one member of a union.

The panel has even recommended that entitlement to allowances should "cease until profits are generated" and has listed this as one of the milestones for the government releasing fresh funds to AI. "AI must initiate and implement within a timeline a thorough review of the various allowances and perks being given for below average performance," it said.

The panel was appointed by a group of ministers to examine and vet AI's turnaround plan. Its recommendations will form the blueprint for future equity infusion into AI.

The aviation ministry has said emoluments drawn by AI employees are "much (in) excess of average emoluments in the market".

Just last week, AI hit turbulence with a pilots' stir over unpaid dues that grounded 70 flights.

Unveiling Elections 2024: The Big Picture', a fresh segment in HT's talk show 'The Interview with Kumkum Chadha', where leaders across the political spectrum discuss the upcoming general elections. Watch now!

Get Current Updates on India News, Election 2024, Arvind Kejriwal News Live, Bihar Board 10th Result 2024 Live along with Latest News and Top Headlines from India and around the world.
SHARE THIS ARTICLE ON
Share this article
  • ABOUT THE AUTHOR
    author-default-90x90

    Tushar was part of Hindustan Times’ nationwide network of correspondents that brings news, analysis and information to its readers. He no longer works with the Hindustan Times.

SHARE
Story Saved
Live Score
OPEN APP
Saved Articles
Following
My Reads
Sign out
New Delhi 0C
Thursday, March 28, 2024
Start 14 Days Free Trial Subscribe Now
Follow Us On