Air India management mulls suspension of operations as pilots strike enters fourth day

On Monday, AI Chairman and Managing Director Arvind Jadhav-led management met the striking pilots, represented by Captain V.K. Bhalla and held talks for over two hours but the impasse continued with the pilots claiming that the airlines had refused to withdraw the cut in productivity-linked incentives (PLI).

"The talks have ended in a stalemate as the management refused to give a positive reply over the payment of our due salary and withdrawal of PLI-cut order," Capt. Bhalla said.

"The salary of the pilots will be paid with the cut but he (Jadhav) refused to give any exact date or time when it will be paid to us. He has refused to address our concerns. Hence, as of now, our stand is what it was earlier," he said, adding that their agitation will continue.

It may be recalled that after the cash-strapped airline had slashed PLI of non-unionized executive pilots belonging to the management cadre by 25 to 50 percent as part of its cost cutting measures on Wednesday, around 400 aggrieved pilots of the airline started a stir and reported sick en masse from Saturday to protest against the pay cuts.

The strike resulted in cancellation of 25-40 AI flights daily, causing great distress to thousands of stranded passengers everyday. The beleaguered airline operates close to 350 flights daily (both domestic and international), carrying about 30,000 passengers and controls about 16 percent of domestic marketshare.

However, Capt. Bhalla is in no mood to call off the strike. "Our chairman Arvind Jadhav has issued a Talibani diktat of cutting our salaries by up to a whopping 70 percent without any negotiations with us. Our pilots are in no mental state to fly and this has a direct bearing on passenger safety," Bhalla said.

Capt. Bhalla is one of those whose monthly salary will drop from about Rs.4 lakh to close to Rs.1.25-1.50 lakh as a result of the pay cuts. In comparison, unionized co-pilots will still be getting close to Rs.2 lakh.

The cut, announced by the airline, will be 25 percent for those getting incentives of Rs.10,000 per month or less, and 50 percent for those receiving PLI or flying related allowances of Rs.200,000 or more per month.

The cut for those receiving incentives of Rs.10,001-25,000, Rs.25,001-50,000 and Rs.50,001-200,000 will be 35, 40 and 45 percent respectively.

Meanwhile, acknowledging that Monday's talks have failed to make a breakthrough, AI spokesman Jitendra Bhargava said further talks would be held.

Earlier, AI had issued a statement that a committee to re-examine the controversial order that aimed to slash the PLI, or flying allowance, paid to the executive pilots. The executive pilots will get full salary until the committee comes out with its report, the National Aviation Company Ltd, or Nacil, which runs the airline, said.