IN 2012, THE MANAGEMENT OF GOVERNMENT-OWNED AIR INDIA WAS DOWN ON its knees as the bulk of the Maharaja's international fleet was grounded for 58 days as the Indian Pilots' Guild (IPG), a trade union of the airline pilots, struck work. Air India was estimated to have lost Rs 600 crore in revenue in this period, leading to the management sacking 101 of more than 420 pilots associated with the union. But within a year, all pilots, except 13, were reinstated by the Ministry of Civil Aviation.
Eleven years later, in April 2023, the Air India management-now part of the Tata Group-faced another threat of industrial unrest. Fireworks were expected when around 1,300 pilots, belonging to the IPG and the Indian Commercial Pilots' Association (ICPA), its other union of pilots, announced that they would go to any extent to oppose the management's proposal to implement revised terms of compensation.
The world watched how the Tata Group-known for its harmonious relations with unions in different companies stood up to the challenge posed by the strongest and among the last surviving unions in the country.
Having taken over a company that had incurred accumulated losses of Rs 77,953 crore by the end of 202021, this new contract was a necessary step so the Tatas claimed-to bring a uniform culture among all airlines under the group's aviation portfolio. The showdown was expected. Passengers were jittery about booking Air India flights, and industry watchers from across the globe were excited to see the Tata playbook of dealing with an elite group of workers who knew about their rights and were not afraid of facing the axe to defeat the iron hand of capitalism.
But, in less than a month, even before the two unions could plan their moves in the game, the Air India management checkmated them, writing the obituary of a Nehruvian era's legacy that once invoked fear in the heart of industrialists in India.
Denne historien er fra June 2023-utgaven av Outlook Business.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent ? Logg på
Denne historien er fra June 2023-utgaven av Outlook Business.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent? Logg på
'Automation is Redefining Efficiency and Precision in Jewellery Manufacturing'
Increasing brand consciousness and awareness among consumers is helping expand the organised jewellery retail industry. MP Ahammed, chairman of Malabar Group, discusses prominent trends in the jewellery industry
BATTLE TO WIN THE AI RACE
In Supremacy, Parmy Olson tells the astonishing and behind-the-scenes story of the battle between the world’s two leading artificial intelligence firms, OpenAl and DeepMind and the continuing rivalry of its founders Sam Altman and Demis Hassabis respectively
A LEADER WHO EMPOWERS
Anshul Arzare, MD and CEO of YES SECURITIES, wants to ensure a workplace where employees not only contribute to the company's vision but also feel content
EV Unplugged
Electric vehicles are crucial to India’s climate change plan. But reliance on China for imports and technology constraints remain hurdles the sector needs to overcome
Every Lamborghini Owner is a Brand Ambassador
Regional director of Automobili Lamborghini, Francesco Scardaoni, talks to Prachi Khanna about the brand’s approach to fostering a sense of community among its vehicle owners. Edited excerpts
NO ZEST FOR ZED
A government initiative to green MSMEs is not finding enough takers
SMALL PLANTS, BIG TROUBLE
Climate-triggered stress is placing an unprecedented burden on small businesses. But a lack of access to climate aid hinders the sector's ability to adopt greener methods
'We Think About the Rider More Than Any Other Company
Rapido co-founder Aravind Sanka talks to Neeraj Thakur and Deepsekhar Choudhury about how flexibility and fair pay helped his company disrupt the Ola-Uber duopoly. Edited excerpts
LABOUR PANGS
Rising cost of living in a fast-growing economy is making workers restless
'Hustle is No Virtue'
It has become fashionable to talk about the verb “hustle” these days, especially in professional settings.