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Pilots are welcome back, but without pre-conditions: Ajit Singh

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Inside an IKEA store in Stockholm, Sweden
Inside an IKEA store in Stockholm, Sweden

Civil Aviation minister Ajit Singh on Wednesday is addressing a press conference on the issues facing national carrier Air India. The airline has been hit by a prolonged strike by its pilots, now in its 30th day, on international routes. The pilots are protesting the management's decision to let erstwhile Indian Airlines’ pilots to train on advanced Boeing 787 aircraft, and are seeking new pay and career progression norms. On Wednesday, the striking pilots' union also took out a protest march in New Delhi. 

Here are the highlights from the press conference. 

  • I appreciate the unstinted support from all our employees in this difficult time.  
     
  • Domestic passenger carriage now 26,000 daily, as it was at the beginning of May , we intend to maintain this. 
     
  • International traffic is about 11,000 daily, about 2,000-3,000 less than normal. 
     
  • Will start new route to Hong Kong, Seoul and Osaka in August. 

  • WIll hire pilots from domestic and international markets.

  • Will start Boeing 787 aircraft shortly. First long haul flight will be Mumbai-London in August.

  • Have started reforms in Air India, the first is crew management system, the first phase is already implemented, seocnd phase will start in July.

  • We are starting a new system for testing pilots. Current system is unwritten and doesn't tell the examinee how s/he did. New system will have an appeals system and can ask for an outside examiner. 

  • It seems pilots have decided not to come back, they have condemned the Dharmadhikari report, which is part of turnaround plan. If they reject that, no point in their coming back. 

  • Our stand from Day One has been, that it has been declared illegal by the High Court, they haven't even followed union rules of giving notice of strike.  I have said in Parliament their will be no victimisation, but they are not willing. 

  • If they want to come back, they are welcome but there are no pre-conditions.

  • Air India is planning to hire 90 pilots, through agencies and advertisements. 

  •  The number of crew is mandated by the DGCA, no question of being overstaffed. 

  •  Termiinated pilots will have to re-apply if the want to come back to Air India. 

  • On FDI in aviation, we are taling to UPA allies. 

  •  MPs have lot of travelling, special assistance for them doesn't entail extra cost. 

  • Air India has made plans not only to maintain international flights, but to increase them. 

  • I have asked the CMD to recognise employees, especially executive pilots, that have kept the Air India flag flying. 

  • No plans for sale of Air India.

  • There are two Airbus 330 under repair, one should be back in a week's time.

  • Airport privatisation, some have been marked for PPP mode. Lot of investment is needed, number of airports we are planning, even in Tier-II and III cities. They create employment and economic progress, we need lot of money. If it coomes from private players, it is welcome.  

  • Revenue sharing, Delhi and Mumbai airports have earned about Rs 1000 crore last year.

  • Once Air India advertises, they are welcome to apply. 

  • If they are not willing to be part of Air India family, what can we do?

  • IPG is de-recognised, their fears are of their own making.

  • Pilots have ruled themselves out already of new plans. 

  • We have taskforce, we are looking at what we need for aviation infrastructure, we neeed about Rs 40,000 crore. We are happy to get it from whatever source. As long as the money comes, it will create jobs.

  • Everything we are doing is reform.

  • Air India has a problem of payment of salaries, they don't have money. All the money has to come from the government. They have Rs 2,000 crore, can only pay up to March salaries.  

  •  Aviation sector is burdened with too many taxes and cost of operations is hihgly taxed also. ATF is 40-50 per cent of operation cost. Average cost of ATF in Indian aiports is higher than other hubs. Airlines are particularly sensitive to ATF cost, it affects their viability. 

  • Experts have said that high taxation regime is responsible, ad valorem VAT can go up to 30 per cent.  No transparency in ATF price determiniaton. 
     
  • Bring ATF under notified goods category, experts have said.