Business Standard

Air India likely to reconsider union derecognition

Image

BS Reporter Mumbai

Management meets other unions, promises discussion on grievances, turnaround plan.

The Air India management is willing to review its recent decision to derecognise two of its many staff unions for having gone on a flash strike. The Air Corporation Employees Union (ACEU) and the All India Aircraft Engineers Association (AIAEA) were derecognised after going on strike on a management order issued in the wake of the Managalore air crash.

“The management has said they are willing to re-look at the decision to derecognise. We pitched strongly, asking the management to take a softer approach about the unions. We even gave them the example of the pilots, who had earlier gone on a six-day strike; the union strike was for one and a half days,” said George Abraham, general secretary of the Aviation Industry Employees Guild (AIEG).

 

There was a meeting today between the AI management and the employee unions, barring the two which had been derecognised. Convened by the former, it was supposed to be a confidence-building exercise regarding the situation after the Mangalore tragedy and the strike, and seems to have also resulted in the management mulling a softer approach towards the derecognised unions. Nine recognised unions attended the meeting. However, the management met the unions of the erstwhile Indian Airlines and the erstwhile Air India separately.

“The mood looks positive, as the management shared the financial situation with us frankly. They have also assured us of a greater frequency of meetings, a Human Resource (HR) policy to deal with employee/employer relations and assured us that there will be no loss of jobs. Moreover, they have promised us better channels of communication and co-ordination,” said Sanjay Lazar, general secretary, All India Cabin Crew Association.

A union member said out of the Rs 5,000 crore promised by the government, Rs 800 crore have been received and the rest are expected to be dependent on a satisfactory turnaround plan. The independent directors on AI’s board have reportedly met the Prime Minister and the cabinet to discuss the plan.

The CMD, Arvind Jadhav, has also assured the unions of a one on one meeting soon, said the unions. Members alleged the lack of response to letters about their grievances had led to the recent flash strike.

The posibility of dialogue was welcomed by the two derecognised unions. “We are always open to the possibility of dialogue and solving issues amicably. However, the management hasn’t approached us for any dialogue. The strike decided for June 12 is still on as planned,” said Y V Raju, general secretary, AIAEA.

“It’s the other unions who have taken a stand and said that the two derecognised unions should be called for the meeting and urged the management to relook at the decision to derecognise. If they want to have a dialogue, there’s nothing like it, we are always open. However, we haven’t been approached as yet. The management should be frank with us,” said ACEU president Dinakar Shetty.

After the flash strike, the CMD had said: “It was totally avoidable, to say the least. We are still coming to terms with a tragedy. We are also striving hard for improved performance. This is the time for consolidation; not confrontation.” The focus of the management will be on financial restructuring and organisational transformation, said the statement.

“We were told that the draft of the turnaround plan by the management will be submitted in June itself. The management also said that once the draft is ready, there will be a meeting between all the unions and independent directors to enable members to give their take on the draft, possibly in June,” said union members.

The new AI board, with four independent members, had in early April asked the management to prepare a turnaround plan in 30 days. The board also decided to form four committees to look into human resources, finance, audit and strategic issues.

The four independent board members are Mahindra & Mahindra managing director Anand Mahindra, Federation of Indian Chambers of Commerce & Industry general secretary Amit Mitra, industrialist Harsh Neotia and retired Air Chief Marshal Fali H Major. They have a tenure of three years.

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Jun 02 2010 | 1:17 AM IST

Explore News