To assist the company in the fight against its humongous debt, employees have decided to take tough steps such as forgoing allowances.
Debt-laden Air India has found a saviour in its own employees. To assist the company in the fight against its humongous debt, employees have decided to take tough steps such as forgoing allowances. The employees have also come up with innovative ideas such as shrinking the in-flight magazine size, among others, reports Business Standard.
The government has been planning to privatise the national carrier that has amassed debt over Rs 46,000 crore (approximately USD 7.13 billion).
In a letter to Ashwani Lohani, Chairman and Managing Director of Air India, a cabin crew member in-charge has offered to forgo his pay, which includes flying allowance, layover allowance along with special allowance when travelling abroad for two months.
The employee said his decision comes in the light of him witnessing the efforts put by the management to cut down on expenditure and improve revenues across all spectrums.
At present, the airline is paying a whopping Rs 4,000 crore annually in debt servicing.
The company is receiving many such emails every day including suggestions such as discontinuing employee transportation claims till the company bounces back to health.
“For 14 years, the company has given me respect and an identity in the society. Air India has been my family, my society, therefore, I want to give back to the company that has given me years of glory and memory to cherish,” another employee wrote adding that he is willing to forgo his travelling allowance amounting to more than Rs 400,000, which was pending over the last three years.
“I am willing to forgo other allowances too till the company flourishes again,” he added.Currently, the airline is giving a serious thought to suggestions like shrinking the in-flight magazine size and eliminating salad from its in-flight menu. However, it would be interesting to see whether suggestions on waiving off employee allowances would see the light of the day as it being a public-owned company, and salary payments is governed by stipulated rules.