Air India, the National carrier decided to hike salaries after it got Rs 105 crore operational profit last fiscal year.
New Delhi: For the first time in closely five years, the national carrier Air India will give a 2 percent salary hike to its permanent staffs. The airline has decided to hike the salaries after becoming operationally profitable in the last fiscal year.
Assisted by lower fuel costs and growth in passenger numbers, Air India had posted an operational profit of Rs 105 crore in the past financial year. It was also the first time in a period that the carrier curved operationally gainful.
In a message to employees currently, Air India’s Executive Director A Jayachandran said in sight of last fiscal’s operating revenue, “it has been decided that annual increment rate for all groups of permanent employees of Air India and its workers posted in divisions will be applicable at 2 percent”. This would be valid only for the fiscal year 2016-17 — active from April 1, 2016 to March 31, 2017 — and shall be billed as per the increment date of the relevant employees, it said.
It is also for the first time in closely five years that the national carrier is giving a hike in wages. The airline has about 19,000 permanent employees. Air India, which is remaining afloat on an Rs 30,000-crore bailout prolonged by the government, is employed on ways to progress its financial position.
When requested why the airline was continuously targeting Indian Railways to lure its travelers, Airline’s chief managing director Ashwan Lohani said the carrier wishes to offer a better service.
Lohani says “We wish to lure Rajdhani Express passengers away. We consider that we can provide a better deal that will not only cost a little less amount, but also save a lot of time.”