PIA to pay bonus to employees despite heavy loss. Despite posting monthly losses of Rs 12 billion and annual losses of nearly Rs 740 billion, Pakistan International Airlines (PIA) has declared that it will give its staff members raise bonuses for “good” performance.
The management of PIA reportedly announced the incentive to recognise the efforts of its staff for generating excellent financial results from April to September of this year.
The amount of the increment bonus that the management will receive has been determined based on a bonus awarded in 2022, and it will be applied starting on October 1, 2023.
The rise, according to PIA’s announcement, will range from 5% to 10% of the pay received as of March 31, 2023. Employees who have given the company notice that they will be leaving on or before October 2023 are not eligible for the incentive.
Employees who were just hired and who obtained a promotion or a pay rise between April 1, 2022, and September 30, 2023, are likewise ineligible for the increment.
Employees who are currently involved in disciplinary proceedings will also not be eligible for the incentive.
The national airline’s announcement of the bonus at a time when it is struggling to keep its operations afloat due to regular fuel disruptions is startling.
The airline’s monthly revenue is Rs 22 billion, its monthly expenses are Rs 34 billion, and its overall loss is Rs 740 billion.
As PIA to pay bonus to employees despite heavy loss, according to sources in the finance ministry, caretaker finance minister Dr. Shamshad Akhtar recently sobbed at the financial problems facing the national airline.
On the basis of a government guarantee, the PIA obtained a loan from commercial banks for Rs 260 billion. It has not been able to pay more than Rs1 billion per month to the Civil Aviation Authority (CAA) and is not paying tax to the FBR in the amount of Rs1.25 billion.
Out of 34 aeroplanes, 15 are grounded, and some of them aren’t even completely functioning, according to interim federal minister for privatisation Fawad Hasan Fawad. In this circumstance, it appears that the news of staff incentives is making the nation giggle.
