PIA BoD endorses privatisation plan

PIA BoD endorses privatisation plan

Karachi: The PIA board of directors has endorsed the privatisation plan of the national airline.

The plan was shared with the national flag carrier’s board members during a session held in Islamabad.

The session was also briefed about different proposals regarding the future of the organisation’s employees also came under discussion, the sources shared.

The government had appointed Ernst & Young — a global financial advisory firm — to prepare the plan for the loss-making firm which completed its task during the caretaker setup.

Under the E&Y plan — presented before the board — the voluntary retirement scheme was also discussed, the sources said, adding that the transaction advisor has also proposed to retire the employees who have 4 years of service left.

The PIA’s BoD has been inactive since October 2023 and the federal cabinet recently approved its reconstitution as it is mandatory to seek its approval for the major decisions regarding the company.

The International Monetary Fund (IMF) has asked the Pakistani authorities to privatise the bleeding state-owned enterprises to revitalise the sick economy.