time to give a send-off to the chairman of air-india along with the minister for civil aviation. air indiashould be reorganized as a private-cum-public enetrprise, with shares on the market and bonus shares for employees contributing t0efficiency and growth.
Halving the productivity-linked incentive will make its salary levels unattractive and put a heavier burden on junior staffers, says Surajeet Das Gupta.
About 1,600 employees of Air India [ Images ] earn more than Rs 25,00,000 per year, an aghast Civil Aviation Minister Praful Patel [ Images ] told Business Standard a few weeks ago while talking about the airline's turnaround plan.
As if on cue, the Air India's new chief Arvind Jadhav began some tough talk with the airline's 14 unions - take paycuts or face layoffs. Jadhav, like Patel, also focussed on the airline's controversial 'productivity-linked incentive' scheme through which staffers often get around half their incomes.
If it was an incentive, how could it be fixed, and surely it would have to go when the airline was making losses? Jadhav unilaterally announced a 50 per cent cut in the PLI which would help save Rs 620 crore (Rs 6.2 billion) in one go.
The unions responded by rejecting the offer in a meeting with Jadhav and went on dharna (even after it came to an end, they threatened further action). But Jadhav cannot back down as the government's decision to infuse equity into the company is contingent upon his taking tough action.
And something that can help Jadhav reduce a fifth of his bloated wage bill of Rs 3,100 crore (Rs 31 billion) a year will clearly be seen as a tough measure, more so since it will bring down Air India's wage bill to around 16 per cent of its turnover
Re: AI _ BLOOD SUCKER of INDIAN PEOPLE
by viswanatha seshadri on Nov 12, 2010 11:18 PM
incentivs should be given only as company shares in the market, whose value will increase with company's profits and prestige. infosys grew only on this route.
Re: Re: AI _ BLOOD SUCKER of INDIAN PEOPLE
by viswanatha seshadri on Nov 13, 2010 12:24 AM
perhaps, mms should ask infosys narayanamoorthy to help by serving as honorary chairman of air india for an year to reoganize it as an efficient public-cum-private corporate.
these fellows are not capable of even driveing a bullock cart and we indians think , they can run an airline . How ling do these useless non productive people at AI enjoy on tax payers money . God's sake - SHUT DOWN AND SAVE FOR POOR PEOPLE OF INDIA
Re: The airport should be renamed as Congress Airport......
by yowam on Nov 12, 2010 12:50 PM
randibaazar/chkla airport .... most of indian airports fall in this category.... what a pity !
Re: Re: The airport should be renamed as Congress Airport......
by yowam on Nov 12, 2010 12:53 PM
where common indians have been fked in and out for ages by failed indian aviation system
Re: fghfghfgh
by Aqua Mariner on Nov 12, 2010 01:02 PM
Good question bro but even worse is JLN MKG Both hardcore MOFUKers did the worse things to this nation and still adorns popularity
Re: First of all close down air india
by Bharat on Nov 12, 2010 12:21 PM
What Govt Money... It is the Tax Payer's money. Air India should be immediately closed down and let Praphul Patel and his daughter make money somewhere else.
Re: Re: First of all close down air india
by Mallu Lungi on Nov 12, 2010 01:58 PM
Flying crews and top bosses enjoy . PL CLOSE DOWN . Earlier is better
Re: Re: First of all close down air india
by Mallu Lungi on Nov 12, 2010 02:09 PM
Only fellow travel by AI WHO gets free tickets . You pea brain fellow
