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AI begins to get restive unions off warpath

Posted in Air India, Airline NewsNo comments

In a meeting that went on for about 10-hours on Tuesday, Air India (AI) chairman Arvind Jadhav has finally managed to break the deadlock.
Among 14 employees unions, the All India Cabin Crew Association (AICCA) has accepted the management’s move to cut performance-linked incentives (PLIs) by 50 pe rcent.

AICCA has about 3,500 members. Though the numbers may be small in comparison to other unions, some members said that it was a positive outcome, which may lead to bigger support from others.

“AICCA has accepted the carrier’s proposal. However, it has not accepted it in its present form. A 50 per cent cut in PLI is too much, AICCA has asked the management to bring it down,” a union member, who did not want to be named, said.

On Wednesday evening, there was also a buzz that Jadhav has told the unions that they accept PLI cuts or the company would be handed over to the Board of Industrial Financial Reconstruction (BIFR), a body for reviving sick public firms.

The AI spokesperson, however, denied any such claim. “We have made no reference to BIFR or lock out. We can’t identify unions who have accepted our proposals. If any one them accepts then rest will also follow,” Jitendra Bhargava, AI spokesperson said.

However, other unions including aviation industry employees guild (AIEG) and the air corporation employees union (ACEU), are still sticking to their stand saying that they are not going to accept any cut in PLIs. The unions have written a letter to Jadhav with details on their wage agreements and settlements.

“Our PLIs have already come down by 40 percent since last year. There is hardly any scope to cut them further. The management must cut the PLIs of people who get higher salaries and allowances,” said an ACEU member.

The management may meet unions again. The unions said the chairman has assured to review the reduction for various categories.

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