No need for job cuts in Air India: Govt

No need for job cuts in Air India: Govt

There are no plans to either reduce manpower or slash salaries of around 30,000 employees of national carrier Air India, Civil Aviation Minister Praful Patel said today.

"There is no real need to cut manpower or reduce jobs or send people packing home...that is certainly not the objective," Patel told reporters after attending Air India Board meeting.
He said it was also unlikely, considering the proposed Air India turnaround plan which envisages a good growth in the future. "In view of the turnaround plan and the kind of projected growth, I do not think that stage of reducing manpower will arrive."

"Manpower rationalisation in terms of people being moved from one job to other within the organisation where there is some under-staffing is understandable," Patel added.
On the wage cut issue, the Minister said, "in terms of wage cut, I do not think, Air India has even enforced it."

The Government has pumped in Rs 800 crore and proposes to provide another Rs 1,200 crore to the airline. The airline reported a loss of about Rs 5,400 crore in 2009.

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