Tuesday, July 13, 2021

Employees of Air India’s technical arm AIESL mull nationwide strike, legal action after fresh salary cut

Amid deepening financial woes and anxiety, Air India Engineering Services Limited (AIESL), the technical arm of the national carrier, Air India, announced a 20 per cent cut in gross salary of all employees on Tuesday.

Based on information received from highly placed sources, National Herald had reported on July 8 that the AIESL management was planning a fresh salary cut to deposit employees’ PF from a back date.

Signed by CB Kharkhanis, CEO of AIESL, the letter says, “Commencing salary payable for the month of June 2021, AIESL board has decided to ‘set aside’ total of 20 % of your gross salary to create cash flow for payment of statutory dues”.

Interestingly, the next paragraph in the letter said, “This is not a pay-cut, and the amount set aside would be returned to you as soon as the statutory dues are paid.”

“Why are they announcing the cut then, if the amount has to be returned?” said an employee who was furious after receiving the letter.

“They were alarmed after NH published the story. So they discovered a new terminology. No matter what you call it, ‘cut or setting aside’, it is going to hit us hard,” said the employee, adding that “the previous salary has not been resumed yet”.

Citing loss of income and revenue, the AIESL management had announced a 25-30 percent salary cut in March this year.

13/07/21 Vishwadeepak/National Herald

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