AI CMD holds another round of talks with the employees' unions
Employees of the cash-strapped Air India on Sunday came up with several suggestions to cut costs during their second round of discussions.
By PTI |
NEW DELHI: Employees of the cash-strapped Air India on Sunday came up with several suggestions to cut costs during their second round of discussions, as the airline management appealed for tightening of belts to face the acute financial crunch.
The suggestions came as leaders of three major unions, representing almost 70 per cent of the staffers, held a day-long meeting with Air India CMD Arvind Jadhav here.
While the unions stuck to their earlier decision to launch an agitation following delay in June salary payment, their leaders said they would continue to hold talks with the management and later review their action plan.
Jadhav sought their help and participation in reviving the airline which is facing acute financial crisis and reeling under a loss of about Rs 5,000 crore.
At the meeting, leaders of Air Corporation Employees' Union (ACEU), Aviation Industry Employees' Guild (AIEG) and Indian Aviation Technicians Association (IATA) suggested that many staffers were ready for transfer to low cost subsidiary Air India Express with lower salaries while others were ready to accept leave without pay for two years.
The CMD spoke about the grim financial scenario facing the airline industry and Air India in particular and sought their support to "fight for survival of our own airline".
The AI management has already asked its top management not to take their July salaries and deferred the June salaries of all employees by a fortnight.
The unions claimed that out of a total salary expenditure of Rs 350 crore by the airlines, only a minuscule 20 per cent were being spent on their salaries, while 80 per cent were being spent on the remaining 30 per cent AI employees.
"Further rounds of talks between the airline management and the unions would be held next week," said J B Kadian, General Secretary of ACEU.
"But we will go ahead with the agitation programme as decided by the three unions. All employees would wear a black badge from June 22 to 25 while on duty, on June 26, we would hold a demonstration at our offices and on June 30, we would be forced to adopt the policy of 'no pay no work' if the management fails to give us our salaries," Kadian said.
Air India's losses for the last financial year are estimated at over Rs 4,000 crore, up from Rs 2,226 crore in the previous fiscal.
The national carrier has approached the government for infusion of funds by way of equity, soft loans and a grant.
The demand has come in the wake of its orders for 111 new planes worth over Rs 45,000 crore against a puny paid-up capital of Rs 145 crore and authorised capital of Rs 1,500 crore.
The suggestions came as leaders of three major unions, representing almost 70 per cent of the staffers, held a day-long meeting with Air India CMD Arvind Jadhav here.
While the unions stuck to their earlier decision to launch an agitation following delay in June salary payment, their leaders said they would continue to hold talks with the management and later review their action plan.
Jadhav sought their help and participation in reviving the airline which is facing acute financial crisis and reeling under a loss of about Rs 5,000 crore.
At the meeting, leaders of Air Corporation Employees' Union (ACEU), Aviation Industry Employees' Guild (AIEG) and Indian Aviation Technicians Association (IATA) suggested that many staffers were ready for transfer to low cost subsidiary Air India Express with lower salaries while others were ready to accept leave without pay for two years.
The CMD spoke about the grim financial scenario facing the airline industry and Air India in particular and sought their support to "fight for survival of our own airline".
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The AI management has already asked its top management not to take their July salaries and deferred the June salaries of all employees by a fortnight.
The unions claimed that out of a total salary expenditure of Rs 350 crore by the airlines, only a minuscule 20 per cent were being spent on their salaries, while 80 per cent were being spent on the remaining 30 per cent AI employees.
"Further rounds of talks between the airline management and the unions would be held next week," said J B Kadian, General Secretary of ACEU.
"But we will go ahead with the agitation programme as decided by the three unions. All employees would wear a black badge from June 22 to 25 while on duty, on June 26, we would hold a demonstration at our offices and on June 30, we would be forced to adopt the policy of 'no pay no work' if the management fails to give us our salaries," Kadian said.
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Air India's losses for the last financial year are estimated at over Rs 4,000 crore, up from Rs 2,226 crore in the previous fiscal.
The national carrier has approached the government for infusion of funds by way of equity, soft loans and a grant.
ADVERTISEMENT
The demand has come in the wake of its orders for 111 new planes worth over Rs 45,000 crore against a puny paid-up capital of Rs 145 crore and authorised capital of Rs 1,500 crore.
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