Question : DELAY IN PAYMENT OF SALARIES AND INCENTIVES TO AIR INDIA EMPLOYEES



(a) whether Air India delayed the payment of June month salaries and productivity linked incentives to its 31,500 employees;

(b) if so, reasons therefor; and

(c) the steps taken by the Government to bail out Air India to overcome this situation?

Answer given by the minister


MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF CIVIL AVIATION ( SHRI PRAFUL PATEL )

(a) and (b): Yes, Sir. In view of the liquidity crunch faced by Air India, the salary and productivity linked incentive dues to be paid for the month of June 2009 has been deferred and will be paid by 15th July, 2009.

(c): National Aviation Company of India Limited has been advised to formulate a concrete proposal for equity induction and provision of loans.