New Delhi: The Indian government has been juggling several desperate measures to sell off the loss-making state-owned carrier Air India, while making attempts to showcase it as an attractive proposition to buyers. So far, it has not been very successful.
Last month, Civil Aviation Minister Hardeep Singh Puri told Parliament that the bleeding carrier would have to be shut down if it fails to find a buyer.
Air India has not made any profit since its 2007 merger with another state-owned domestic operator Indian Airlines Ltd. It is saddled with Rs 58,000 crore ($11 billion) in debt.
The government is even considering a plan to exclude $7 billion of the airline's debt in a bid to make the airline more attractive. Roadshows were also held in Singapore and London.
One of the biggest strengths of Air India, as put forward by the government, is its prized international slots and a strong presence in the Indian market.
The centre, now working on a war footing, is likely to issue the expression of interest (EoI) for divestment of its stake in national passenger carrier in January 2020.
Air India employees to stall privatisation via NCLT or strike
Fed up with the uncertainty over their future tagged with the fate of Air India, airline employees are in the process of deciding to either take the NCLT (National Company Law Tribunal) route to recover their dues or declare a general strike to put pressure on the government from privatising the national carrier.
The final course of action will be decided after all the recognised AI unions and other employee bodies meet for further discussions. If the strike option is chosen, then it will be initiated from January 8, 2020.
The development comes just days after the airline's pilots and engineers demanded immediate payment of their dues.
"The country can not afford to lose the national carrier, which provides affordable travel options to passengers. It is also an engine of economic growth during the time of slowdown," a senior office-bearer of engineers' union told reporters.
"Privatisation exercise should cease immediately, and some clarity must be provided first," he added.
On Monday, the airline's pilot union had requested the centre to allow them to quit the passenger carrier without serving their notice periods.
"If the government wants to close down the airline, then they should say so and relieve us as soon as possible so that we can find other employment. We also want that our notice period should also be waived-off," a senior office-bearer of the pilot's union, the Indian Commercial Pilots' Association (ICPA) told reporters.
At present, the union has 800 pilots as its members. As per the letter, currently, 65 pilots have tendered their resignations and are serving the six-month notice period which is due for completion "very soon".
(With input from agencies)
