Hint of trouble in AI pay plan

New Delhi: Air India employees will get only basic pay and no incentives — the bulk of their salary — at least for the next four months, the management has said.
The announcement comes a few days before a group of ministers meets to discuss a bailout plan for the national carrier.
Sources said the panel, headed by finance minister Pranab Mukherjee, would also review the progress made by the airline in cutting down losses.
Aggrieved over the delay in wages, major unions representing over 30,000 employees have threatened a flash strike.
In May, Air India employees, including pilots and air crew, were paid just 50 per cent of their salaries.
Unions claim that productivity-linked incentives (PLIs), which constitute 50-70 per cent of the salary, have also not been paid in April.The cash-strapped airline was hit hard by a 10-day strike called by one of the pilots’ associations.
It caused cancellation of 1,600 flights and a revenue loss of Rs 150 crore. This was followed by the imposition of the “no work no pay” rule and many employees were not paid their salaries during that period.
21/06/11 The Telegraph

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Categories: Air India Jun 2011