Air India to start promoting staff

It is good news for the 27,000 employees of Air India. The national carrier has decided to start their promotion process from next fiscal.

Promotions to almost all employees in Air India has been on hold since the merger of the erstwhile Air India and Indian Airlines in 2007 due to different human resources policies at both carriers.

"We will start the promotion process for the employees from next month," said a senior Air India official.

The decision to give promotions is one among other initiatives planned by the national carrier to ensure continuation of its growth trajectory.

On the back of good financial numbers for the first time since the merger, Air India has planned other initiatives that includes increasing ancillary revenues by advertisements on board and in lounges, tapping government and corporate couriers and making its frequent-flier programme more dynamic.

"First, we will make the frequent-flier division a separate company in the airline. New cards will be issued to all members, who can then use the card and points at various hotels and restaurants. Talks are going with ITC hotels on the issue," the official said.

Performing better than the Turnaround Plan, Air India has become operationally profitable by posting Rs 20 crore EBIDTA (Earnings Before Interest Depreciation Tax and Amortisation), turning positive in the current fiscal.

The national carrier has also been able to cut its net loss for the current fiscal by Rs 2,361 crore as compared to Rs 7,559 crore in the 2011-12 fiscal. The net loss in 2013-14 is further expected to go down to Rs 3,900 crore.

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