The Pakistan International Airlines (PIA) Holding Company has presented a new proposal to retired employees in a bid to resolve disputes over post-privatization benefits, but talks stalled over the issue of medical coverage, ARY News reported on Monday, citing sources.
A high-level meeting in Islamabad brought together officials from the PIA Holding Company, Privatization Commission, State Life Insurance, and representatives of retired staff to discuss pension and healthcare arrangements after privatization.
The company offered to outsource medical benefits to State Life Insurance, but retirees’ representatives refused to proceed without a formal written proposal. With no consensus on healthcare, the government has pushed the PIA privatization bidding timeline from October 30 to November 17.
Pension matters were also reviewed, and officials of the Holding Company sought more time to present a revised pension plan in the next meeting.
Meanwhile, major unions — People’s Unity, Air League and SASA — voiced strong objections to being excluded from the negotiations. In a letter to PIA management, Shamim Akmal, president of the PML-N–aligned Air League, criticized the participation of what he called “non-representative groups” and warned that any alteration to retirees’ medical rights would be unacceptable and could jeopardize the welfare of former staff.