Air India employees to go on strike over non-payment of salaries
2 Jul 2009, 1946 Hrs

Add comment          Mail          Print          Write to Editor

New Delhi, July 2 Employees of India's flagship carrier Air India have announced they will be on strike for two hours on Friday in protest against the non-payment of salaries.

Air India has said it will not be able to pay the salaries tomorrow as scheduled. In retaliation, the employees said they would go on a strike between two and four in the afternoon, and thereafter on an indefinite strike.ivil Aviation Minister Praful Patel has said the government cannot bail Air India out every time, and it is time for the flagship carrier to tighten its belt and resolve its financial woes.

Air India's borrowings have risen from Rs.6, 550 crore in November 2007 to Rs.15, 241 crore in June this year.

He said that the airline has been asked to prepare a restructuring plan in the next 30 days.

In reply to a question in the Lok Sabha, Patel said the borrowings have gone up largely due to servicing of debt on account of purchase of new aircraft and its operating losses, which have compounded due to the present economic recession and the high oil prices last year.

He said the National Aviation Company of India Limited (NACIL) has been advised to formulate "a concrete proposal for equity induction and provision of loans".

Patel also made it clear that there was no plan to retrench any employee of Air India.

He later told reporters outside Parliament that government's support to Air India "cannot be taken for granted".

The carrier plans to start a low-fare airline for the domestic sector as new budget airlines gain market share.

The carrier may set up under the Air India Express brand, which now is a low-fare unit for international routes, chief commercial officer Tara Naidu said. (ANI)

Related Latest

Nelly Furtado blasts Madonna over her reluctance to age naturally Thierry Henry considered quitting France over handball uproar Parliament adjourned over Liberhan Report leakage Method to generate power for planes and cars from air flow developed Jordan quits I'm A Celebrity jungle over seventh gruelling task Actress Grace Kelly's wardrobe to go on display in London museum Pakistan says India cannot decide Kashmir issue unilaterally Redmond, Broom confess to misconduct during India tour As far as Kashmir issue is concerned, India will not redraw borders: Singh No apprehension about US viewing India differently: Manmohan Singh

Related Latest

Centre to set up six Spice Parks Widows of 26/11 martyrs meet Sonia 'Pigeon' McGrath still as miserly and deadly as in his hey-day India -ASEAN free trade agreement to come into force in January 2010 Is Schumi mulling comeback with Mercedes? Fearsome Siddle wants to get upfront with Windies Tourism ministry to evolve Code of Conduct for all tourism service providers Navy augments anti piracy efforts deploys one more ship off Seychelles, Mauritius Irish snub 'Henry vacuum cleaners' after French striker's cheating Pak constitutional experts divided on fate of beneficiaries' liability under contentious NRO

• India -ASEAN free trade agreement to come into force in January 2010
• Centre to set up six Spice Parks
• Widows of 26/11 martyrs meet Sonia
• 'Pigeon' McGrath still as miserly and deadly as in his hey-day
• Is Schumi mulling comeback with Mercedes?

• भारतीय क्रिकेट की मजबूत दीवार
• कंगारूओं के आगे ढेर, चीतों से कैसे मुकाबला करेंगें शेर
• Reducing greenhouse gases may not be enough to slow global warming
• बीकानेर महापौर चुनावः एक विश्लेषण
• Deepawali: The Festival Of Lights