PIA announces temporary salary cuts for employees

Pakistan International Airlines (PIA), like its global peers, is facing severe crisis due to the economic difficulty caused by coronavirus.

The COVID-19 pandemic is having an enormous impact on the aviation industry, affecting passenger traffic, air cargo demand, airport workforce and incoming revenues.

In order to cope with the pandemic that has devastated air travel demand, PIA management has taken some difficult decisions in order to protect maximum number of jobs and to keep the company afloat.

Therefore, the PIA management has decided that higher cadres of the national airline must temporarily have to bear while the lower pay scale and daily wage employees are left to survive within the meager salaries.

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As per the decision of PIA management, there will be no deduction in salary of employees of pay scale 1-4 and employees with salaries less than Rs 100,000.

However, salary deductions will be made across the board from officer cadre i.e. PG 6 till top management as mentioned below:

  • Salary ranging from 100,001 to 200,000 will have to bear 10% deduction
  • Salary ranging from 200,001 to 500,000 will have to bear 20% deduction
  • Salary ranging from 500,001 onwards will have to bear 25% deduction

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It is worth mentioning here that PIA has not laid off any employee on humanitarian grounds like other global airlines, which was otherwise an easy choice.

However, it is emphasized by the PIA management that these deductions are not permanent rather are subject to the revenue earning and financial state of the company amid COVID-19 pandemic.

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