This Article is From Apr 09, 2010

Backed by politicians, Air India unions demand a split

New Delhi: The pressure on the Civil Aviation Ministry to demerge Air India and Indian Airlines is mounting. This after a Parliamentary Committee rapped the ministry calling the merger a marriage of incompatible parties.

Members of all unions met in Mumbai on Friday, demanding the merger be undone. Supporting them is not just the Left, but also the Congress.

"Government should write off NACILs losses," says Sitaram Yechuri, Chairman, Standing Committee on Transport, Tourism and Culture.

"This is the only wrong decision in the UPA regime," says Sanjay Nirupam, MP, Rajya Sabha.

At a meeting of all unions, from pilots to peons - an otherwise deeply divided lot - were united by their singular demand.

A merger slammed by Committee on Public Undertakings as a marriage of incompatible parties, that instead of cutting losses has caused them to balloon to over Rs 13,000 crore in three years.

Losses that the airline's attempting to reduce through a 20 per cent wage cut.

Ironically though the airline's also hired a foreign COO, reportedly at a salary of over Rs 2 crore a year. 

"His salary will be 10 times of the CMD above him, how can this be allowed?" said Sitaram Yechuri, Chairman, Standing Committee on Transport, Tourism and Culture.

If there was a single villain here then it was the Civil Aviation Ministry and the minister. The unions are now hoping to garner and consolidate the political support that they have got in what they call "a quest" to save the airline.
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