Indian Airlines(Air India)

Presented by:-Sachin Rai

11BSP1972Section - H

HR Issues of

Introduction -Indian Airlines was established in 1953.

The Indian Airlines officially merged into Air India on feb 2011.

It covers 75 destinations(59 within india and 16 abroad)

Once the merger was completed, the airline - called Air India - would continue to be headquartered in Mumbai and would have a fleet of over 130 aircraft.

HR Issues -The Pilots and crew members of Indian

airlines were forced to the management to agree to all their demands.

They were went for strikes, go slow agitations and wage negotiation.

For each strike there was a different reason, but every strike it was about pressurizing IA for more money.

The pilots began the agitation demanding higher allowances for flying in international sectors.

They then refused to fly with people re-employed on a contract basis.

Thereafter they went on a strike, saying that the cabin crew earned higher wages than them and that they would not fly until this issue was addressed.

Due to adamant behaviour of pilots many of the cabin crew and the airhostesses had to be off-loaded at the last moment from aircrafts.

There was another agitation, with many pilots reporting sick at the same time. Medical examiners, who were sent to check these pilots, found that most of these were false claim.

How to solve these issues ?It can be seen from case detail presented it is

the case of “Collective Bargaining” Introduce variable pay and reduce basic pay

which is purely based on performance.Government appoint a committee to look into

the matter and find the problem and suggest appropriate steps which could resolve the matter.

IA should introduce some non monetary benefits which could increase employee satisfaction.

Involve participation – In1.Informative – Information regarding the balance

sheet,new technology introduction etc is shared with the employees.

2.Consultative – Joint management councils are

consulted on matters such as employee benefits, employee welfare and work conditions.

3.Administrative – the Employees council is given

certain alternatives from which it can select the one it wants to implement.

4.Assosiative – the management to accept and

implement the unanimous decision of the employees.

5. Decisive – At this level decisions are

taken jointly on matters relating to welfare, both the parties are obliged by them and the decisions are successfully implemented.

THANK YOU