Good news for retired PIA employees

The Sindh High Court (SHC) has reinstated medical benefits for all affected retired employees of Pakistan International Airlines (PIA), declaring the airline’s agreement with State Life Insurance Corporation of Pakistan to be against the law.

The court ruled that the suspension of medical facilities for retired employees by PIA Holding Company was unlawful.

During the hearing, the government lawyer told the court that medical facilities for all PIA employees were being provided without interruption.

The court was informed that medical benefits are granted under the 2016 law and with the approval of the board of directors.

The lawyer has taken the stance that the 2026 ordinance protects the medical facilities guaranteed under the 2016 Act.

The SHC also took strong notice of what it described as unequal treatment of PIA employees.

The ruling follows an earlier decision on 2 May 2026, when a Karachi court struck down recent administrative orders affecting the medical facilities of retired PIA employees.

The court had directed the immediate restoration of the previous medical benefits system.

The petitions were filed by Air League President Shamim Akmal and others. Their lawyer argued that under a new insurance agreement, retired employees had been restricted to selected hospitals and limited medicines.

while reimbursement for non-panel medical services had been withdrawn, causing serious difficulties for elderly pensioners.