Govt may restrict benefits for employees of Air India

NEW DELHI: The government is likely to limit employee benefits only up to the time it is an owner of cash-guzzler national carrier Air India, setting the template for the privatisation of other public sector companies as part of its ambitious strategic sale programme.
The move will mean that the new owner of the airline —which is a top priority company for disinvestment this year — will have new terms for employees and can tweak the compensation packages in a way that it benefits sections where it wants to make them more attractive, sources familiar with the privatisation programme told TOI.
Air India employees are entitled to several benefits that go beyond the usual health and provident fund scheme to also include free tickets for several segments. Although the number of free tickets that can be issued in a year is fixed, it was given beyond the immediate family which typically…

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