The Pakistan International Airlines (PIA) Board of Directors has finally approved PIA employee salary adjustments, bringing much-needed relief to its staff. This decision comes after four years without a salary increase, despite rising inflation affecting employees’ financial well-being.
PIA Employee Salary Adjustments Approved
According to a statement by the PIA spokesperson, the PIA employee salary adjustments were approved during a recent board meeting. The pay raise aims to ease the financial struggles of employees who have faced stagnant wages amid soaring living costs.
PIA, which once had a large workforce, has seen its employee count drop to below 7,000. Despite its ongoing financial crisis, the airline has taken this step to support its staff.
PIA Privatisation Plans
While the salary increase is a positive move, PIA is still battling severe financial challenges. The government has been working to privatize the airline as part of its economic reform efforts. This privatisation is a key condition under the $7 billion IMF loan program aimed at stabilizing Pakistan’s economy.
Last year, in November, the government rejected the only bid for a 60% stake in PIA from the Blue World Consortium. The bid of Rs 10 billion was far below the minimum valuation of Rs 85 billion set by the Privatisation Commission.
Despite the setback, the government has decided to relaunch the privatisation process. The Privatisation Commission (PC) recently announced that it is fully prepared for a second attempt at selling PIA. Several new and returning bidders have expressed interest in participating.
As the privatisation process unfolds, employees are finally receiving some financial relief with the PIA employee salary adjustments. However, the airline’s future remains uncertain as the government continues to seek a viable buyer.
