New Delhi, April 28: After Jet Airways and Kingfisher Airlines, it is now the turn of Pawan Hans Limited, which is facing a financial crisis. Pawan Hans' management, on April 25, issued a circular to its employees stating that the company is not in a position to disburse employees' salaries for the month of April due to "uncomfortable financial position in Pawan Hans." Pawan Hans Chopper Makes Emergency Landing at Kurgiakh Helipad.
"While reviewing the overall performance of the company, it has been observed that the company is facing an uncomfortable financial position. The industry's future is uncertain as many of our established businesses and our associated challenges are threatening future deployments. In terms of financial performance, the revenue has sharply declined in the financial year 2018-19 and the company has incurred a net loss to the tune going to Rs 89 crore during this financial year," the circular said.
"Also, search trends have been financially downturn owing to serious mismatch that has been built up between the revenue income depending on the present business volume and the expenses, particularly on the staff cost. The situation has further turned critical as the outstanding amount lying with various customers has risen to alarming levels of over Rs 230 crores. Therefore, there is a need for complete transformation by adopting corrective measures in various areas of management," it said.
The circular further said, "Keeping in view the crucial financial position of the company, it has been decided to defer the salary for the month of April 2019 of the employees other than who are directly contributing to the production till the time a target recovering 60 per cent of the outstanding dues by bringing the receivable below Rs 100 crore on achieving the task.
The issue would be reviewing with alternative methods of cost-cutting with and improve the deficiency in Pawan Hans Ltd operations with a contribution of each individual employees."The said circular was given to the employees who are currently not getting their salaries, due to the financial crunch.
Pawan Hans Employees Union has replied to the management on the salary issue and said that it is inhuman."It is inhuman to stop the salaries of workers who all are due for wage revision. The so-called management is diverting the issue with the stopping of payment where the same company executives have pocketed the new skills with arrears. It is for your kind information that we are wearing a black ribbon as a mark of protest against the inhuman act of the management," the union said.
"We are holding that meeting after office or at 7:30 hours after completing our duties against the inhuman workers' act of the management, who will be solely responsible for any outward incident," it added. Pawan Hans Stake Sale: Govt Extends Deadline for Initial Bids.
The above reply was given by Pawan Hans' Employees Union to the management of the company. The union members have threatened to approach the CAG and CBI over Pawan Hans' financial issues if the management did not listen to their grievances. It is to be noted that in last year, the government decided to call off a fresh bid for 100 per cent stake sale in Pawan Hans. As of now, the firm has a fleet of around 46 choppers.