Air India staff salaries will be restored when situation improves: Govt

Pilots say five-year leave without pay as good as layoff, threaten litigation which may hurt airline's privatisation process

Facing heavy protests from employees, the government on Thursday said that no staffer of the state-owned Air India will be laid off. However, the union of pilots said that five-year leave without pay was as good as retrenchment.

Air India has begun a cost-cutting drive which includes a reduction in salary for pilots and sending around 600 employees on furlough.

on July 7, the airline's board approved the scheme of 'Leave Without Pay' ranging from six months to five years. While the scheme is voluntary, if it doesn’t get a good response from employees, the board has authorised Chairman and Managing Director