Cost-cutting is necessary: Puri on Air India's leave without pay plan

Air India has started the process of identifying employees, based on various factors like efficiency, health and redundancy, who will be sent on compulsory leave without pay (LWP) for 5 years

Equity infusion of Rs 500-600 crore every year is not sustainable and cost-cutting in Air India is necessary, Civil Aviation Minister Hardeep Singh Puri said on Thursday, justifying the national carrier's decision to send certain employees on leave without pay for up to five years.

The minister's remarks came after TMC MP Derek O'Brien slammed Air India, saying its leave-without-pay scheme violates labour laws and is an "obvious ploy" to protect the top management and sacrifice other workers.

Air India on Thursday said it has started the process of identifying employees, based on various factors like efficiency, health and redundancy,