The Hindu Business Line : IA board okays VRS extension

The VRS is to cover permanent employees of the company who have worked continuously for at least 10 years or have attained the age of 40 years on the date when the scheme closes.

The scheme is to remain in effect from March 1 till June 30 this year. However, the criteria for certain categories of workers including commercial, in-flight and ground support department to avail themselves of the VRS has been changed.

Workers from these categories seeking to apply for the VRS will be eligible only if they have put in a minimum of 25 years of service. The airline had earlier introduced a VRS scheme from May 19 to September 17 last year, which was taken up by 450 workers.

The board also approved the recruitment of additional cabin crew keeping in mind the minimum requirement that would arise out of leasing of additional aircraft.

According to sources, the board took note of the letter written by Boeing offering a suggested saving of Rs 700 crore if the airline were to acquire its aircraft. However, they said that the communication could not be considered as it was "unsolicited" and added that "entertaining" the communication would violate the guidelines laid down by the Central Vigilance Commissioner (CVC).

The IA board had in March 2002 decided to acquire 43-Airbus aircraft at an estimated cost of more than Rs 10,000 crore.