PIA to lay off 3,500 employees under voluntary separation scheme
ISLAMABAD: Pakistan International Airlines (PIA) will lay off its 3,500 employees under the voluntary separation scheme by the end of this month (December-2020), ARY News reported.
According to the details, the national flag carrier, under its restructuring plan, offered the voluntary separation scheme (VSS) to its 3500 employees. If the separation of the required number of 3500 employees is not met through the scheme, then the mandatory separation scheme will be launched in January 2021.
A PIA spokesperson said that the excess employees will be mandatorily retired based on performance, discipline and value addition of the employees. The mandatorily retired employees will not be offered VSS financial package and other facilities.
According to the restructuring plan available with the ARY News, PIA’s head office will be shifted to Islamabad in the new year. In order to control its human resource expenditures, the airline will reduce its aircraft to employee ratio from 500 to 250 employees per aircraft.
Earlier on December 15, Pakistan International Airlines (PIA) had planned to cut down the number of its employees to 7,500, less than half the current strength of its workforce, to reduce cost.
The sources quoting a report submitted to the Supreme Court in the suo motu case involving the national flag carrier had said work on its business revival plan has begun as it has decided to bring in a mandatory scheme after the voluntary separation scheme.