Sunday, December 07, 2014

Centre asks Air India to slash expenses by 10%

New Delhi: Facing a cash crunch, Air India was on Saturday had asked by the central government to slash expenditure on operational heads by ten per cent and improve performance and passenger facilitation, officials said.

The direction came after top airline officials including CMD Rohit Nandan made a presentation on Air India's performance parameters at a meeting with Civil Aviation Minister Ashok Gajapathi Raju and his Minister of State Mahesh Sharma here. The officials said Air India, burdened by losses of about Rs 5,400 crore in 2013-14, was asked by the Minister to strive to prune its operational costs by at least ten per cent.

The Minister also told the airline officials to improve on-time performance of its flights by reducing delays and providing timely and proper information to passengers about any delay. The passengers hit by flight delays should be provided with refreshments and alternate connections in case of major delays, they said, adding that a system of leadership should be established at the operational level to meet any crisis.
06/12/14 PTI/Business Standard
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