- The incremental bonus will be 5% to 10% of the salary paid on March 31, 2023.
- Bonus announced to recognize the efforts of PIA employees.
- PIA announces bonus, as it struggles to maintain operations.
KARACHI: Pakistan International Airlines (PIA), despite suffering a monthly loss of Rs 12 billion and a total loss of over Rs 740 billion, has announced that it will pay its employees an incremental bonus for their “good” performance.
According to a report by NewsPIA management announced the bonus to recognize the efforts of its employees in achieving positive financial results from April to September this year.
Management will apply the incremental bonus starting October 1, 2023, while the amount they will be paid was decided based on a bonus issued in 2022.
The increase, according to the PIA statement, will be 5% to 10% of the salary paid on March 31, 2023. Employees who have notified their departure from the company in October 2023 or earlier will not be eligible for the bonus .
Employees who were recently hired and received a promotion or salary increase from April 1, 2022 to September 30, 2023 are also not eligible for the increase.
Meanwhile, employees facing disciplinary cases will also not be entitled to the bonus.
It is surprising that the national airline has announced the bonus at a time when it is having difficulty maintaining its operations due to frequent fuel cuts.
The airline’s monthly revenue is Rs 22 billion and its expenses up to Rs 34 billion, and PIA’s total loss has reached Rs 740 billion.
Sources in the Finance Ministry said that Acting Finance Minister Dr Shamshad Akhtar recently cried over the financial crisis of the national airline.
The PIA has taken a loan of Rs 260 billion from commercial banks with a government guarantee. It does not pay taxes worth Rs 1,250 crore to the FBR and has not been able to pay more than Rs 1,000 crore a month to the Civil Aviation Authority (CAA).
According to Acting Federal Minister for Privatization Fawad Hasan Fawad, out of 34 aircraft, 15 are grounded and some of them are also not fully operational. In such a situation, the announcement of bonuses for employees seems to become the laughingstock of the country.