Air India pilots unhappy over Vistara merger: Here’s why
Air India pilots unhappy over Vistara merger: Here’s why
A section of Air India pilots is reportedly upset about the upcoming merger with Vistara, fearing they might lose two years of service compared to their Vistara counterparts. Both airlines are owned by the Tata Group.
Differing Retirement Ages Fuel Discontent
The primary issue causing resentment among Air India employees is the difference in retirement ages between the two airlines. At Air India, pilots and other staff retire at 58, while at Vistara, the retirement age is 60. With the merger set for November 11, many Air India pilots are worried about the implications for their careers and financial futures.
Merger Details
The merger is part of Tata Group's strategy to consolidate its aviation business, with Vistara being jointly owned by Tata Group and Singapore Airlines. Despite efforts to harmonize salaries and working conditions, the retirement age discrepancy remains unresolved.
Pilot Concerns
“There is a lot of resentment among a section of Air India pilots ahead of the Vistara merger over the retirement age limit. While the management was prompt in bringing parity in terms of salary structure and other working conditions of the employees of the two airlines as part of the merger process, it is yet to address the issue of two different retirement age limits,” a source told PTI.
This disparity leaves Air India pilots at a disadvantage, losing two years of potential service compared to their Vistara counterparts. Civil aviation regulations from DGCA allow pilots to serve until the age of 65, but this is not uniformly applied within the merged entity.
Air India's Response and Future Steps
Air India has not yet commented on these concerns. Sources are urging the airline to revise the retirement age to match Vistara's, ensuring fairness across the merged entity.
In an attempt to mitigate some of these concerns, Air India announced in August a policy to retain select pilots under a five-year contract after retirement, with the option to extend until they reach 65 years of age. However, this has not fully alleviated the pilots' worries about the immediate impact of the merger on their careers.
As the merger date approaches, the management's handling of these concerns will be crucial in maintaining employee morale and ensuring a smooth transition into the merged airline.