PIA Experiencing Monthly Losses of Rs 2bn – Research Snipers

PIA Experiencing Monthly Losses of Rs 2bn

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Mohammad Saqib Aziz—the Aviation Secretary on Wednesday informed to the Senate Standing Committee on Aviation that the PIA was experiencing monthly losses on Rs 2bn owing to the jump of global oil prices and the devaluation of rupee against dollar.

Mr Aziz shared the details of the operational losses were alongside the liabilities of Rs 400 billion including the bank loans, as per the reports of local media.

As per the reports of the aviation secretary, the rupee depreciation and the increase in fuel prices were the two significant factors for the airline’s losses.

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He further said that another major reason for the financial despairs of the Pakistan International Airlines (PIA) was the issue of overstaffing which had led to the non-payment of salaries this month to its employees.

The matter has been brought into the notice of the finance division and it is hoped that the matter would be resolved soon.

The Senate committee meeting had been summoned for a briefing on many issues related to the aviation, particularly about the PIA and the problems in its software which was causing errors during bookings and allegation of money laundering by the PIA officers.

As per the aviation secretary, if the non-core employees are to be separated from the core employees the ratio of workers against one aircraft would be reduced to one hundred and thirty-five, which would be the same as India’s.

It was also shared that PIA spends nearly eighteen per cent of the revenue on each staff member.

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