Air India Latest News: Though Air India has seen brisk business being the single airline flying both domestic and international passengers (under Vande Bharat Mission), the airline is not in a good cash flow position, the latest move of the carrier says. Air India on Friday introduced a “shorter working week scheme” under which its permanent employees, except pilots and cabin crew members, can opt to work for three days a week at 60 per cent salary, said senior airline officials. Also Read - International Flights: Delhi Airport Handled Flights to These New Global Destinations For the First Time Ever During Lockdown
This measure has been introduced in order to improve the airline’s cash flow position amid the coronavirus pandemic, they added. “The permanent employee who opts for such a scheme can avail this for a period of one year,” the officials said. Also Read - Over 19,000 Fresh Cases Recorded in Last 24 Hours, Total Tally Crosses 6 Lakh-Mark | Top Developments
The pandemic has impacted the aviation industry significantly, and all airlines in India have taken steps like cutting salaries of employees, firing employees to improve their cash flow. Some airlines rolled back their salary cut decision after Prime Minister Narendra Modi urged private employers to not take harsh measures on their employees. Also Read - Tamil Nadu Lockdown Extension: Small Temples Reopen, Please Don't Sprinkle Holy Water on Devotees, Says Government
Air India officials said that the employees opting for the “shorter working week scheme” would not have the option to take any other employment during the remaining days of the week.
After a gap of two months due to the coronavirus-triggered lockdown, India resumed its domestic passenger flights from May 25 albeit in a curtailed manner. International passenger flights continue to remain suspended in the country. Air India has been part of Vande Bharat Mission, adding new international routes. Later, IndiGo also joined Vande Bharat Mission.
After failing to disinvest from Air India two years ago, the central government restarted the process in January this year. However, due to the coronavirus pandemic, the process has slowed down.
Air India is a loss-making enterprise and it has a debt of more than Rs 60,000 crore.
(With Agency Inputs)