The government has set in motion a strategy to preclude potential protests and disruptions concerning the potential privatization of Pakistan International Airlines (PIA). In a bid to manage potential unrest, the Federal Cabinet has approved the enactment of the Compulsory Service Act on the national airline.
Sources within the federal government have revealed that the Cabinet has given its nod to implement the Act through circulation in order to curtail protests, strikes, and union activities within the PIA.
The Act is designed to restrict any organised opposition or demonstrations related to the potential privatisation process.
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The decision to enforce this Act stems from a proactive approach by the government to circumvent possible resistance from PIA unions and employees. It's emphasized that strict actions will be taken against individuals found in violation of the Compulsory Service Act.
The urgency of PIA’s privatisation was underscored when Caretaker Prime Minister Anwaarul Haq Kakar convened a meeting to review the progress. During the meeting, he urged all relevant stakeholders to expedite the process while emphasizing the need to elevate PIA's standards to meet international benchmarks.
The move to privatize PIA is seen as a pivotal step in rejuvenating the airline's financial health and operational efficiency. It also aligns with the government's broader economic reforms aimed at streamlining state-owned entities and attracting private sector investment to bolster Pakistan's economy.
On the other hand, the unending dispute over payments between Pakistan International Airline (PIA) and Pakistan State Oil (PSO) has incurred a loss of a whopping Rs700 million to the flag carrier. Flight operations of PIA were partially restored after the airline reached an agreement with PSO over a dues dispute.
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The national airline lost more than Rs700 million due to the disruption in flight operations. Over 65 domestic and international flights could not take off.
PIA flights from Karachi, Islamabad, Lahore, and Multan to Jeddah and a flight from Islamabad to Riyadh departed on Sunday after the agreement was reached. Meanwhile, the PIA CBA Union People's Unity held an emergency meeting to condemn PSO for not providing fuel to PIA flights.
The union president also warned that the privatization of PIA will not be allowed under any circumstances. In the meantime, passengers are advised to check with PIA before travelling to confirm the status of their flight.
