‘Launching new airline easier than reviving PIA’
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FAISALABAD: PIA Chairman Air Marshal Arshad Mahmood Malik says short-term and long-term plans are in the works to revive the airline.
Addressing members of the Faisalabad Chamber of Commerce and Industry here on Monday, he said revival was a daunting task as compared to launching a new airline.
Also read: Another go at a PIA turnaround
The chairman said getting rid of seven loss-making routes was his first priority. He said three direct flights from Faisalabad to Jeddah would be introduced from Feb 15. He said two different teams would visit Faisalabad next week to review the expansion of the runway and to evaluate local cargo potential.
He said 18,000 workers were on the airline payroll and the number was high compared to international standards.
FCC President Syed Zia Alumdar Hussain and former FPCCI president Mian Idrees also spoke on the occasion.
Published in Dawn, January 15th, 2019
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Comments (68) Closed
Jan 15, 2019 09:13am
What about all those slogans of reviving national assets by just plugging corruption leakages and professional management
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Jan 15, 2019 09:31am
Its a dead horse
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Jan 15, 2019 09:32am
Remove the extra inefficient staff immediately.
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Jan 15, 2019 09:37am
So regrettable , if a Chairman or a leader of any corporation talk so much low about that corporation , about his own no of employees , no motivation , no upward plan, how can that corporation which in this case is PIA could come up once again ,,,at this level one has to be very careful ..
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Jan 15, 2019 09:43am
Best of luck to Chairman. Looks like he is alone in pool of sharks
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Jan 15, 2019 09:44am
Give the employees a severance package of 24 months and scrap the airline.
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Jan 15, 2019 09:44am
Zardari and Sharif mafia destroyed PIA.
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Jan 15, 2019 09:46am
Please dispose PIA forever, wastage of poor nation money for the benefit of few looters and plunders
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Jan 15, 2019 09:46am
PIA is not overstaffed. Most of other airlines sublet their services to other companies whereas PIA maintains all services. This is why employees numbers is high. Moreover the wages for PIA employees are much less as comparable to international standards.
PIA spends 17% of it's revenue on wages which is within international limits for salary expenditure.
So the problem is not the number of employees. There are other reasons for PIA performance. If after 4 months in PIA, this is the understanding by new PIA boss, then I am afraid we are not moving in the right direction.
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Jan 15, 2019 09:54am
The government should either sell PIA or shut it down to stop ongoing bleeding of public exchequer. Also sell or shut down all government owned business entities as soon as possible . Government’s job is to govern and not run businesses
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Jan 15, 2019 10:08am
18,000 employees are way too many. Some need to be eliminated to make Pakistan International Airlines (PIA) profitable once again.
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Jan 15, 2019 10:10am
off course the number of workers is high. You can see many people just doing nothing at the airport
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Jan 15, 2019 10:25am
Get rid off Political appointments . Give golden hand shake to unnecessary staff . PIA will revive , if govt. want it to revive.
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Jan 15, 2019 10:27am
Use your skill set aquired during your war course. I'm sure they teach you how to turn a corporation around. Another great example of Imran Khan's mantra of the right person for the right job... Not.
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Jan 15, 2019 10:32am
Good way to make money for pti.they are not only corrupt but incompetent too
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Jan 15, 2019 10:34am
This is why he is getting the salary and all the perks/ benefits for being the Chairman of PIA.
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Jan 15, 2019 10:39am
You can beat this 'White Elephant' all you want, but you cannot revive it.
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Jan 15, 2019 10:55am
better to close the airline, retrench and get rid of extra staff, sell its asset to a third party, and start an airline with a new name
CAA should also be trimmed of extra fat so they can make our airport more competitive to attract more investment and international carriers to come back
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Jan 15, 2019 11:04am
@SkyHawk, PIA was incurring loses way the tenure of Zardari or Sharif.
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Jan 15, 2019 11:14am
I say to chairman of PIA, yes, reviving an organisation is a daunting task and it is your responsibility to do so. Here are some of my suggestions: 1. Review and restructure all management activities and appoint competent team with identifying their tasks and responsibilities. 2. Review operational activities and costs - cut down non profitable activities. 3. Review and reorganize futile routes and focus on improvements, customer care and satisfaction 4. Restrict free staff traveling and unnecessary purks. 5. Review training, motivational and business activities, etc. Reviving any organisation is challenging but, it can be done by applying various management tools with dedicated and competent staff - no safarishis. I hope this will motivate PIA management team and wish them good luck!
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Jan 15, 2019 11:17am
PIA needs a managerial fix. Most of the aircrafts are grounded and need repairs. If the complete fleet is flying and air worthy this airlines can do wonders. We need honest people working honestly to revive the airline rather then taking heavy salaries and enjoying the free travelling benefits.
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Jan 15, 2019 11:17am
What about their enormous health care package given to a private hospital in Karachi? People keep
Old parents in the hospital for months on PIA expense
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Jan 15, 2019 11:18am
Forget about launching new airline. You are here to retrieve it. Make up the airline or made up to some where else.
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Jan 15, 2019 11:25am
First step is to appoint MD with experience of running a commercial airline. Ex Air Chief should not be made MD PIA as they don't have knowledge and skills to run airline business
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Jan 15, 2019 11:31am
I say to chairman of PIA, yes, reviving an organisation is a daunting task and it is your responsibility to do so. Here are some of my suggestions: 1. Review and restructure all management activities and appoint competent team with identifying their tasks and responsibilities. 2. Review operational activities and costs - cut down non profitable activities. 3. Review and reorganize futile routes and focus on improvements, customer care and satisfaction 4. Restrict free staff traveling and unnecessary perks. 5. Review training, motivational and business activities, etc. Reviving any organisation is challenging but, it can be done by applying various management tools with dedicated and competent staff. I hope my candid views will motivate PIA's management team for bright future!
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Jan 15, 2019 11:39am
@Humza, please study before making a bold statement. PIAC had a positive equity and it was declaring minor profits each year, in Musharraf era.
It was only in PPP government that it started spiraling downwards, due to excessive recruitment and rampant corruption.
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Jan 15, 2019 11:48am
That seems to be onerous task to revive PIA, however, still if there is will, it will be possible. For this, the Govt. must higher international consultants to undertake restructuring, reorganization and rehiring of all the staff in a bid to make it competitive and profitable organization.
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Jan 15, 2019 12:14pm
two options,
1)pull the plug out and start with a new one
2) trim the extra fat and start with competent team.
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Jan 15, 2019 12:15pm
Either they don't have the capacity or they are not willing to understand real problem with PIA.
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Jan 15, 2019 12:18pm
All the revenues of PIA pocketed, making it into loss.
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Jan 15, 2019 12:39pm
I remember same thing was suggested by PMLN government that launching a new Airline is easier than reviving PIA.
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Jan 15, 2019 01:12pm
Old is Gold but do not beat the dead hours
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Jan 15, 2019 01:16pm
@Jalaluddin S. Hussain, wish same for u sir ,,once u loose ur bread and butter ,,only then u would feel the pain of loosing a job .
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Jan 15, 2019 01:25pm
Sack extra staff. Make it a business enterprise. Make Qantas Airlines staff allocations as a benchmark.
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Jan 15, 2019 01:31pm
RIP PIA. Fire the entire work force and start fresh, by hiring only essential staff based purely on merits. It will save the nations Billions every month that PIA sucks to stay afloat.
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Jan 15, 2019 01:33pm
So how hard is it to fire half the inefficient, unnecessary politically appointed staff who actually do no work, don't even bother showing up at their assigned posts and duties, yet are collecting paychecks and their families enjoying free travel medical care and other benefits which is costing the nation Rs. Billions every month??
Let me have a go at it. I will drain the swamp within a week!
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Jan 15, 2019 01:35pm
Shut it down and start another Airline.
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Jan 15, 2019 01:40pm
@SkyHawk, Add MQM to the equation please....
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Jan 15, 2019 02:20pm
truth
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Jan 15, 2019 02:44pm
Sell it
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Jan 15, 2019 02:52pm
At least the head man has realized that PIA is dead ...... at least that's a start.
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Jan 15, 2019 03:01pm
Let the PIA chairman tell us how many employees it has per aircraft and compare it with international ratio.
What chairman is saying is correct. It is more difficult to revive PIA than creating a new airline. Can PIA be dissolved and its assets taken over by a new corporate body.
Please act fast to save the country of undue losses. We need thinking outside the box and come up with some innovative solution.
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Jan 15, 2019 03:26pm
PIA has lost it's face thanks to foreign sponsored democracies. Launching a new airline is a much better option. It's time to learn from Top ranking airlines and evolve strategy for a refreshed national carrier.
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Jan 15, 2019 03:34pm
Why it is difficult consider the same as you are launching new Airline because branding new will be difficult
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Jan 15, 2019 03:40pm
Sir, this is not your mandate. You were appointed to revive and turn around PIA. Not give us this news, which is not news anyway.
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Jan 15, 2019 04:27pm
Just cause he's an air Marshall doesn't make him fit to lead the airline. We should someone who has experience in running corporations.
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Jan 15, 2019 04:34pm
Zardari and Nawaz destroyed State Owned Enterprises and Institutions. SSGC SNGPL OGDCL PSO
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Jan 15, 2019 04:57pm
It is not possible to revive PIA. Time to shut down PIA and Start, PAK Airways Internation. Keep staff on merits, Not a dumping place for political supporters.
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Jan 15, 2019 05:06pm
faislabled airport should be expanded to allow larger aircraft to land there - Qatar already flys to faisalabad, Emirates, etihad and PIA international should also fly there
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Jan 15, 2019 05:18pm
PIA is near impossible to revive because it has too much 'baggage' which makes it inefficient. It would be much more cost effective to liquidate the national carrier and start afresh with a leaner and efficient national carrier under a new name 'Pakistan National Ariline'??
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Jan 15, 2019 05:47pm
@Mansoor Mela , This is not leadership!
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Jan 15, 2019 06:12pm
Peshawar airport is one of the profit generating airports. This draws almost all the middle-eastern airlines. The bulk of travellers travelling to the Middle-East come from KP and adjoining tribal areas as far as Waziristan Agency who work in labour industry. The flight to and from Peshawar to the Middle-East may not be tiring but travelling from far flung towns and villages to Peshawar is tiresome and time consuming.
PIA Chairman, Air Marshal Arshad Mahmood can consider using Bannu Airport for convenience of same passengers. The airport can be expanded to increase its operational capability potential. Bannu can be a profitable route for PIA if special attention is given to it.
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Jan 15, 2019 06:20pm
@Pro Democracy , (Ex Air Chief should not be made MD PIA)
By any chance, do you know the pioneers behind PIA? You will be awe shocked :)
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Jan 15, 2019 08:06pm
While getting rid of routes losing money is a step in the right direction it may not be seen as a matter of revenue losses only. Th Dr e is such thing as intrinsic value and client loyalty. I am sure the experts are aware of marketing forces and potentials. These things may be done in a manner that new long lucrative routes may be restarted with a fresh vosion and aircraft with super services before the existing routes are abandoned. Let us rebuild the image.
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Jan 15, 2019 11:05pm
Salam Sir: I feel we should not waste more time and money in revival. A culture has set in for long. We may not be able to change that. Therefore, let us take an easy route - let the private sector to set up an airline, Let the governement to order an orderly wind up of PIA.
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Jan 16, 2019 05:48pm
an employee of any airline of the world except PIA likes to help the passenger to get to his/her destination, however a PIA employee wants the passenger to go tto he hotel so that PIA employee can get some commissions from the Hotel Owner. How can you change or revive PIA with these people working for PIA?
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Jan 16, 2019 05:57pm
It took only years to figure out dead routes and employee numbers higher than any other Airline ? The whole task to revive is not daunting, lack of commitment and incompetence is what’s troubling. A great leader would have done a complete evaluation of the entire airline, too to bottom long time ago.
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Jan 16, 2019 06:10pm
Most airlines are making money coming to the North American market and we left that market to Qatar, Emirates, and others why? Hire qualified managers with an aviation background, not political affiliations. Provide customer service and then see how customers come back.
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Jan 16, 2019 06:19pm
It is surprising that the union leader was given 13 cars and for each car 250 litre petrol. This shows how PIA was looted by all.
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Jan 16, 2019 06:19pm
Declare bankruptcy and shutdown PIA. Sell off its assets and pay down the debts of the Country.
Launch a new domestic airline fully 100% govt owned with strict hiring cap and provide limited services to connect remote parts of Pakistan with provincial capitals.
For connectivity across rest of Pakistan, we are geographically a small Country- investing in railways is perhaps better as it can carry more cargo as compared to airplanes.
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Jan 16, 2019 07:44pm
Political appointees must have paid an arm and a leg for the privilege of "working" with PIA. Working is in inverted commas advisedly. Too bad, so sad, but they should be sent home if the national carrier hopes to work within budgetary limits. And PIA should begin working on an indigenous global distribution system. About time, too.
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Jan 16, 2019 07:57pm
PIA needs a Turn around specialist . It is no easy to get such a person. However, they are available both in Pakistan and if necessary hire abroad.
First of all DISCIPLINE should be enforced at all levels including top officers, PILOTS , and UNION. Secondly, expenses including manpower has to be reduced to the level required by the air line. Third focus on profitable routes only. Fourthly, replace in house services by THIRD PARTY services with TECHNOLOGY both in Pakistan and overseas. Phase out old and uneconomical air crafts.
Negotiate and reduce unnecessary perks such as free pick up and drop of staff and free tickets to employees. Finally , reorganize Marketing and Customer Care .
It is a lot easier to revive a well established air line than launch a new air line.
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Jan 16, 2019 08:06pm
Agreed. To revive PIA, you need to terminate half the employess which is an impossibility.
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Jan 16, 2019 09:07pm
PIA has a huge debt. I don't think this airline can be profitable for another 10 to 15 years even if everything changed for the positive and the company started making profit all of sudden . PIA cant be profitable because all the subcontinent traffic has been picked up by Etihad , Emirates and Qatar... and we cant compete with them even if we tried for another 50 years.
PIA also has a very bad reputation and it will be almost very hard to recover back its image it once had. Government should look in to shutting down PIA and rebranding another airline that's more privatized yet heavily subsidized by the government to attract investors.This will ensure better manageability, profitability and will ensure its corruption free for years to come... for right now its just a bad stigma and liability on the government thats been taken advantage off.
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Jan 16, 2019 10:23pm
It''s a stupid idea to revive a failed airline with government workers. Revival effort will be a collasal failure....
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Jan 17, 2019 12:34am
Its not a question of current vs New airline. New airline would also get into same issues in few years if we don't change our old habits and don't run this like how best airlines in the world works.
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Jan 17, 2019 02:56am
With all the cronies of PPP and PML-N placed into position over the last 10 years in PIA, we cannot expect any progress. I fully support complete re-vamp and a re-start with merit based hiring process from top to bottom.
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Jan 18, 2019 04:00am
So why aren't the issue of over staffing not addressed
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