Air India delayed salary for second consecutive month
Air India, which has failed to get a single bidder for its disinvestment plan, has delayed its employees’ salaries for the third consecutive month. The airline management has also not communicated to the staff as to when the salaries for the month of May will be paid.
Air India has also failed to pay its 20,000 employees on time in the last year of the year. Like other public sector enterprises, the airline has to pay the salary on the last day of the month. An airline official said, “Air India has not given its employees a salary of December for up to today (January 7), there is no tragedy for salary payment.”
Air India has over 11,000 permanent employees. The government, which had approved strategic disinvestment for Air India last June, had on May 31 said no initial bids were received for the proposed stake sale.
This is the second time in two decades that Air India stake sale has failed to take off. A senior Air India official had last week said that the airline has sought restoration of the equity infusion by the government in the carrier, which is sitting on a debt pile of around Rs.50,000 crore.