AI to discontinue incentive to staff

State-run Air India has decided to discontinue payment of productivity-linked incentive to its employees effective July 1, 2012 as recommended by the Justice Dharmadhikari Committee on pay and wage rationalisation of the airline.

An official release said on Thursday that from July 1 onwards,  employees of the debt-laden carrier would be paid salary and allowances as per the Department of Public Enterprises (DPE) guidelines.

However, Ministry of Civil Aviation would approach the Union Cabinet for payment of flying allowances and some other allowances to be paid to the pilots, licensed engineers and cabin crews as per the industry standard,” the release added.

The Committee was appointed to suggest ways and means to harmonise and rationalise  workforce.