It is not clear what the government hopes to achieve in the next few weeks as far as the plan to infuse funds into Air India is concerned. None of what the minister Praful Patel is saying is new. It is well-known that Air India has excess employees, whether it is 1,000 in the canteen or 1,200 is a matter of detail. It is equally well-known that they are paid far in excess of what is paid by competitors. But surely the government knew all this before it decided to go on an expansion spree and ordered over 100 aircraft? The government knew there was a lot of competition and it knew the PSU airline would have a tough time coping. The minister has said the government will not infuse funds unless the airline comes up with a plan to cut its flab.
Does that mean the government will allow the airline to close down if the unions don’t agree to cut salaries? This is unlikely and even the trade unions know it.
Sharad Gupta, New Delhi
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