Pakistan International Airlines (PIA), which has been facing financial challenges, is set to consider a salary raise for its employees during a meeting of the PIA HR Committee today (Friday). According to well-placed sources, the meeting will be held in Karachi to discuss the proposed pay increase for staff members.
A comprehensive plan detailing the salary raise will be presented at the meeting. If the HR Committee approves the proposal, it will then be forwarded to the PIA Board of Directors for final approval.
It is noteworthy that PIA employees have not received any salary increments since 2015, making this potential increase a significant development for the airline’s workforce.
In addition to the salary discussions, PIA’s ongoing privatization remains a key focus. The government of Pakistan had previously attempted to sell PIA, but the first attempt failed after receiving only a single bid worth Rs10 billion. The bid was rejected, and the matter has since been referred back to the Cabinet for further consideration.
Earlier, Federal Minister for Privatization, Aleem Khan, held the Federal Board of Revenue (FBR) responsible for the unsuccessful sale of PIA. Speaking at the Senate Standing Committee on Privatization, Khan explained that the lower bid for the airline’s privatization was a result of FBR’s refusal to remove the Goods and Services Tax (GST) on the purchase of new aircraft, a condition that had been recommended in the privatization process.
Khan further elaborated that the privatization process for PIA began on November 28, 2023, before he took charge as the Privatization Minister. He revealed that the airline’s losses stood at Rs830 billion at the time, stressing that the privatization process cannot be halted once initiated.
As discussions continue over PIA’s privatization and employee welfare, all eyes will be on the upcoming decisions, which could shape the future of the struggling national carrier.