Outsourcing ops may aid Air India, PAC told

New Delhi: Maintaining new aircraft acquired by Air India was more cost effective than the carrier's aging fleet although the merger with Indian Airlines was poorly conceived and hastily executed without keeping in mind the interests of either, Parliament's Public Accounts Committee was told on Wednesday.
Suggesting that allegations of financial wrongdoing apart, the aircraft acquisition itself may have been kosher, representatives of Air India's engineers association told the PAC that the new Boeing and Airbus planes were good buys.
The PAC was, however, told that views of the Air India and Indian Airlines staff associations were ignored in a haphazard merger that is yet to fructify since their official reunion last year. The salary and seniority issues were yet to be sorted out while the finances of the new entity went from bad to worse. More than 4,000 employees are awaiting payment of arrears.
23/02/12 Times of India

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Categories: Air India Feb 2012