Pakistan International Airlines (PIA) has approved a one basic salary bonus for its employees, in a decision taken during the airline’s 102nd board meeting – the first to be held under its new private management.
The airline described the move as recognition of its workforce, noting in a statement that “a strong organisation starts with its people.”
The bonus is aimed at rewarding what the airline called its “dedicated” team, as the national carrier looks to strengthen operational performance and support plans for future expansion.
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The announcement comes months after PIA completed one of Pakistan’s most closely watched privatisation deals in decades.
A consortium led by Arif Habib Corporation took full ownership of the airline in a transaction valued at approximately Rs180 billion (Dh2.4 billion), after PIA Equity Ltd, a special-purpose vehicle of the consortium, completed the takeover following local and international regulatory approvals.
As part of the deal, Rs55 billion went towards government proceeds, while Rs125 billion was injected directly into PIA as fresh equity to support operational restructuring, fleet renewal, route expansion and improvements to passenger services.
Under the terms of the sale, the consortium was required to retain the airline’s employees for 12 months with no changes to contracts, with staffing levels having already fallen in recent years through voluntary separations.
The privatisation followed years of financial distress at the airline. Before being delisted from the Pakistan stock exchange, PIA had reported a net loss of $437 million for the 2022 full year on revenue of $854 million. An earlier attempt to sell the carrier had collapsed after attracting just a single, far-below-reserve bid.
The bonus approval marks one of the new board’s first substantive decisions since taking charge, signalling an early focus on workforce morale as the airline pushes ahead with its modernisation and expansion agenda.
Source: Khaleej Times