‘Challenging Financial Situation’: Air India on LWP for Employees

Air India CMD can send employees on LWP “for 6 months or for a period of 2 years extendable up to 5 years.”

Air India CMD can send employees on leave without pay “for six months or for a period of two years extendable upto five years,” an official order said.

(Photo: Reuters)

Air India on Friday, 17 July said that it is in a "very challenging financial" situation and is taking recourse to several initiatives with a view to ensuring the continuance of its operations, IANS reported.

The statement from the national carrier comes after it approved a move in which Chairman and Managing Director (CMD) can send some employees on compulsorily leave without pay ranging from six months to up to five years, NDTV reported.

According to the official order cited by news agency PTI, employees will be accessed based on factors such as suitability, efficiency, competence, quality of performance, health of the employee, instance of non-availability of the employee for duty in the past as a result of ill health or otherwise and redundancy.

Department heads at headquarters and regional directors of the region have been given the task to assess each individual on the above-mentioned factors.

“Names of such employees need to be forwarded to the General Manager (Personnel) in headquarter for obtaining necessary approval of CMD,” the order added, as per PTI.

The move has come at a time when the airline is facing a financial crisis due to the COVID-19 pandemic and the government is trying to privatise it.

The whole aviation industry is battered due to coronavirus and various lockdowns imposed to fight it. While the International passenger flights have been suspended since 23 March, domestic flights are running since 25 May after a break of around 2 months.

(With inputs from IANS, PTI & NDTV)