Pakistan International Airlines (PIA) Chief Executive Officer (CEO) Air Marshal Arshad Malik has told Prime Minister (PM) Imran Khan that in the prevailing situation, the national flag carrier is running into a loss of around Rs6 billion on a monthly basis.
A sum of Rs24 billion was being spent yearly on the payment of salaries to its 14,500 employees alone, the PIA CEO briefed the premier, who was chairing a meeting on the reforms and restructuring of the national airline.
The CEO also apprised the PM about the progress on the investigation into the Karachi plane crash, handing over of bodies to their bereaved families and payment of compensation amount to the heirs of plane crash victims, the PM Office Media Wing in a press release said.
The meeting was attended by Aviation Minister Ghulam Sarwar Khan, Information and Broadcasting Minister Senator Shibli Faraz, Advisor to PM on Reforms Dr Ishrat Hussain, Special Assistant Lt Gen (r) Asim Salim Bajwa and other senior officials.
During the meeting, a timeline for the restructuring of the PIA and a comprehensive roadmap over reforms and implementation was also submitted before the prime minister.
Addressing the meeting, the PM said due to the coronavirus pandemic, the country’s economy was facing difficulties, adding that people had to bear the burden of billions of rupees losses on a monthly basis suffered by the state-owned entities.
He said under the current situation, it was imperative to expedite restructuring and reforms process in the PIA, which had been running into billions of rupees loss owing to Covid-19.
PM Imran stressed upon bringing down expenditures of the organisation, focusing on increase in its income and financial resources and upgradation of its fleet.
He also directed that special attention should be paid so that the PIA-owned domestic and foreign assets, which could be utilised through a completely transparent and clear manner. The assets should create financial resources for the organisation instead of becoming a burden on the general public, he observed.
Arshad Malik on the occasion also gave a detailed briefing on the restructuring, improvement in the financial discipline, better and effective utilisation of the PIA’s assets, and strategy over other related issues.
He said due to the prevailing situation, the airlines industry throughout the world had been affected and reforms in that regard, were carried out in the organisation.