Air India won’t give profit-linked incentive to staff


Seven years after the merger with Indian Airlines, Air India has initiated rationalisation of its employees’ salaries with about 3,500 executive cadre employees, who will not get any Performance-linked Incentive (PLI) from October.

PLI has been part of Air India staffers’ salaries, which were given to them to bring their salaries at par with remuneration of the aviation sector. A decision to scrap the PLI component was, however, taken after the airline kept incurring huge losses and has now accumulated losses of over Rs 25,000 crore, according to Economic Times.

“Any PSU salary has a profitlinked incentive and people in Air India can also get it once the airline starts earning profits. Since the airline is losing money, there’s no possibility of profit-linked incentive now,” said a senior Air India official, who added that notification for the new pay structure has been issued.


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