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Technicians Assn oppose NACIL's move to reduce PLI
Press Trust of India / Mumbai Aug 21, 2009, 16:09 IST

A day after the NACIL management announced a 50 per cent cut in productivity-linked incentive (PLI), a section of its technical staff today said the move was not acceptable to them.

"We have told the management that we will not accept any cut unless revised PLI of certain categories is brought back to the pre-2007 level," Indian Airlines' Technicians Association President M S Kulkarni said here.

The PLI of some categories of both employees and officers have already been revised over a period of time, Kulkarni said without giving specifics.

"The money paid to the beneficiaries of the revised PLI should be recovered before reducing it across the board," he said.

The NACIL Board had yesterday announced a 50 per cent cut in PLI/flying allowance payable to its employees.

National Aviation Company of India Limited (NACIL) is the holding company formed after the merger of Air India and Indian airlines into a single entity. The reduction would be in effect till an alternative formula for governing Productivity Linked Incentives (PLI) is put in place within three months, an Air India statement said.

Air India's Chairman and Managing Director Arvind Jadhav has said that rationalisation of man-power costs would help the air-carrier's turnaround faster.

Air India hopes to save around Rs 600-700-crore by way of this reduction. Its total PLI payment annually amounts to around Rs 1,400 crore.

Shiv Sena-backed unions, which comprises All India Cabin Crew Association, Executive Cabin Crew Association, Air India Employees Union, Engineers Association and Bharatiya Kamgar Sena of Indian Airlines have already said that they would not agree to the proposal unless the company pays the arrears first.

"We have not agreed to anything... We will not give up our rights. If a cut is implemented, take-homes of employees would get reduced by nearly 65 per cent," AICCA President and Shiv Sena Rajya Sabha MP Bharatkumar Raut said.

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