More than 2,000 employees of Pakistan International Airlines (PIA) who had left after availing Voluntary Separation Scheme (VSS) last month still haven’t received their dues.
The former employees are reportedly facing severe financial constraints due to the nonpayment, and are considering taking the matter to court.
The national airline had introduced the VSS in November last year, aiming to lay off half of its workforce to reduce costs.
Although the airline had targeted at least 7,000 employees via the VSS’s lucrative early retirement package, only 2000 workers had applied for it. Those who did apply for it have not received a single rupee under the VSS despite the PIA’s promise of full payments by the end of January.
A source within the PIA said that the federal government had allocated Rs. 12 billion for the VSS package, of which Rs. 9.8 billion had been released in January for the outgoing employees, but the airline has not yet released the dues.
Commenting on the development, a spokesperson for the PIA said that the airline has taken all the measures to clear the dues.
The spokesperson added that the PIA’s accounts being are audited by the Accountant General of Pakistan (AGP) and that the payments will be made after its completion.