After the end of the strike

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How to manage PIA affairs

The government had decided not to meet PIA strikers’ reps till they agreed to resume work. The Chairman of the airlines’ Joint Action Committee took the right decision to call off the eight-day long strike and ask the airline’s employees to pay no heed to anyone trying to disrupt flight operations. This made a negotiated settlement possible. A delegation of the JAC later called on Shahbaz Sharif who they consider an honest broker. The Punjab Chief Minister has promised to convey the JAC’s demands to the Prime Minister. The JAC expects to hold talks with the PM on his return from Qatar.

The basic issue that led to the move for privatisation is the loss of Rs10 crore a day in running the PIA. The government had initially promised to turn around the airline instead of privatising it. It was realised that only an airline run by the government could provide service over unprofitable but strategically vital routes connecting far off stations like Gilgit and Chitral. However, the only way to cover the losses was to get rid of the redundant staff appointed by successive governments and to make a significant addition to the fleet to make the PIA profitable.

The JAC has six months at its disposal to present a convincing plan that can bring down the losses and induct dozens of new planes. Meanwhile, the government needs to hold talks with the opposition to evolve a consensus. The opposition has to realise that the economy cannot withstand the continuation of financial hemorrhage year after year. In case there is no feasible way to turn around the PIA, privatisation will be the only way out.

The privatisation process has to be transparent. The government has to consider whether its present team looking after the PIA affairs has the ability, expertise and integrity needed to run the PIA or to turn it into a sale worthy enterprise that can fetch good price.

2 COMMENTS

  1. The issue is in media for almost two weeks and enough written and read. The fact is PIA is runnin into losses of billions monthly and the present situation should not continue. Mismanagement, corruption, over-staffing ( mostly parchi employees of Politicians) are main reasons. The embrassed Union Leadership should co-operate to reduce staff to bring to the International Standard ( 120 employees per plane – PIA has more than 700 per plane). It is a very painful situation for whose may loose the job but there is no other solution. Let us hope for the best.

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