As part of its restructuring plan, Pakistan International Airlines (PIA) has reportedly decided to introduce a mandatory separation scheme following its Voluntary Separation Scheme (VSS).
Several media reports have quoted a document that was submitted to the Supreme Court according to which after the completion of the VSS, PIA’s management will launch a mandatory separation scheme based on the performances and conducts of its employees.
The national flag carrier currently employs over 14,000 permanent and daily wages workers, most of whom were hired on a political basis over the last ten years. PIA is required to take drastic cost-cutting measures to transition into a profitable entity. Additionally, according to sources, the management also intends to reduce its number of employees to 7,500 to reduce costs.
As per reports, PIA is providing golden handshakes to thousands of its employees under the VSS package. Following this, it will evaluate the performance and punctuality of the remaining employees, and those considered to be burdens on the national exchequer will be laid off to reduce the number to 7,500.
The national flag carrier also seeks to expand its fleet to 35 by adding six new aircraft next year.
Reports suggest that the national airline will be bifurcated into ‘core’ and ‘non-core’ categories. The non-core category will comprise aeronautical engineers, maintenance and repair, and kitchen staff. The core category will comprise the marketing, human resources, finance, flight services, and procurement departments.