Moneycontrol PRO
you are here: HomeNewsBusiness

Air India employees to vacate residential houses within 6 months of divestment: Report

Air India Provident Fund Trust will also be transferred to the Employees Provident Fund Office (EPFO) after divestment.

August 26, 2021 / 02:39 PM IST
Representative image.

Representative image.

Employees of national carrier Air India will have to vacate residential colonies within six months of completion of the ongoing divestment process, CNBC-TV18 reported citing government officials.

Air India Provident Fund Trust will also be transferred to the Employees Provident Fund Office (EPFO) after divestment, the report added.

To speed up the process of privatisation, the government is ready to accept some of the main demands of Air India employees, reports Business Standard.

The Centre has agreed to accept the cost of liquidation loss on account of transfer to EPFO as well as encashment of leaves, it said citing sources. They are all ready to accept the inclusion of employees in CGHS too.

Moneycontrol could not independently verify the report


Union Civil Aviation Minister Jyotiraditya Scindia said the disinvestment process of national carrier Air India was on the "right track". The disinvestment process of Air India is on the right track. For this, the financial bids should come in by September 15 and after that, the next move would be initiated, he told reporters.

According to the report these decisions were taken by the Air India Specific Alternative Mechanism (AISAM). Air India will further lay down the process of vacation of residential houses, transfer to EPFO, and liquidation.

Air India employees had in 2020 petitioned the Civil Aviation ministry to continue medical, leave encashment and provident fund benefits for retired employees in their current form even after privatisation.

Lawsuits by Cairn Energy and Devas Multimedia, both seeking to recover their dues from the Indian government, are attempting to seize Air India’s overseas assets.
Moneycontrol News
first published: Aug 26, 2021 02:39 pm
ISO 27001 - BSI Assurance Mark