Air India operations will continue uninterrupted, says aviation ministry

The civil aviation ministry today said Air India operations will continue uninterrupted and there should be no cause of worry for stake holders. The government assurance comes amid fall in advance bookings, delay in salaries and pilot unions planned vote on strike or insolvency action against the airline. “The ministry of civil aviation reiterates that the government while going ahead with disinvestment, would continue to ensure that Air India continues to operate uninterruptedly and improves its operations. There is no cause for worry to any of its stakeholders," the ministry said in a tweet.

Air India has been facing a cash shortfall of over Rs 200 crore each month despite an increase in revenue. Salaries of December are expected to be released on Thursday while those in airline's ground handling arm are likely to get them next week. Air India is looking to raise Rs 2000 crore in debt but so far has been able to raise only half the amount in absence of government guarantees covering entire sum. Funds raised from fresh debt has been used to pay bank interest and lessors.

Meanwhile members of the Indian Commercial Pilots Union which represent Airbus A320 pilots will start voting from Thursday to choose between a strike or insolvency case against the airline. The action has been planned to protest the delay in clearing past dues.