Pakistan International Airlines (PIA), currently facing financial challenges, will likely consider a salary increase for its employees today.
The PIA HR Committee is set to convene in Karachi to review a detailed plan for this proposed pay raise. Should the committee endorse the plan, it will be sent to the Board of Directors for final approval.
It’s significant to note that PIA employees have not seen a salary increase since 2015.
Meanwhile, the Government of Pakistan’s efforts to privatize the struggling airline have encountered hurdles. The initial attempt to sell PIA attracted only a bid of Rs10 billion, which the government rejected, opting to revisit the privatization strategy with the cabinet.
Read: Pakistan Privatization Board Refers PIA’s Privatization to Cabinet
During a recent meeting of the Senate Standing Committee on Privatization chaired by Senator Talal Chaudhry in Islamabad, Federal Minister for Privatization, Aleem Khan, attributed the failed sale to the Federal Board of Revenue (FBR). He criticized the FBR for not exempting the purchase of new aircraft from the General Sales Tax (GST), which he believes deterred potential buyers.
Aleem Khan, who assumed his role after the privatization process commenced on November 28, 2023, highlighted that PIA’s liabilities had reached Rs 830 billion by the time of privatization. He emphasized that the privatization process could not be easily halted once initiated, despite the complications arising from tax policies.
