For the longest time, one has been hearing about the future of Air India. It’s not looked any bright. In fact, what’s in the public domain for a while is news about the company that needs someone to save it and urgently so.
In the competitive space of aviation, in times marked by rapid technological progress and advancements, at a time where marketing supports brands and industries akin to oxygen supporting the vital organs of our body, one gets the feeling that Air India lost out somewhere in the maddening race.
What’s more concerning is a piece of latest news that suggests that Air India might even shut down, if it isn’t privatized. Familiar struggles, orchestrated by a weakness in the financial situation have put the once-highly popular airline on the brink.
For there’s truly no other way to put it.
Aviation Minister Hardeep Singh Suri recently said- that if Air India isn’t urgently privatized, it might shut down. Yet, there remains a big hurdle for the airline.
So, just what is it?
A big hurdle in front of the airline is the huge stack of staff. In its current capacity, Air India has a combined staff of 9400 employees. Of these, 4,200 are contract workers. The rest are permanent staff.
The biggest setback in the woeful fortunes for the noted airline is the question of addressing its massive debt. How can it be put aside? What can be done about it?
In the current context, some news media platform shared the following:
The company has lucrative landing slots in India and across the world, but has been a burden on the exchequer for years.
Officials are still deliberating over some details, said junior Civil Aviation Minister Hardeep Singh Puri. “Once they are finalized, the government will invite bids, he said, adding that India is committed to selling the company,” he said.
Last year it failed to attract any bidders when it tried to sell a 76 per cent stake in the airline and offload about $5.1 billion of Air India’s debt.
In lines of the above, it is important to know that the airline is currently evaluating plans and trying to understand how can it better the situation that seems to be spiralling out of control?
It is now re-evaluating some of the terms and is open to selling the airline in its entirety, Hardeep Singh Puri said in a written response to a separate question in parliament today. Air India is even desperately trying to reduce its debt so that it can make it more attractive for private investment.