Despite voicing their concerns time after time, PIA pensioners haven’t received any increase in their pension. Almost every year at the time of budget, there is an increase in the pensions of the federal and provincial government employees, but this doesn’t happen in PIA. The airline has increased the salaries of its employees twice (October 2015 and January 2017) through admin order No 21/2016 (dated July 26, 2016), but no increase in pension has been made. The management should increase the pension of retired employees in accordance with Circular No 21/2003 dated July 21, 2003.
The airline gives its employees 32 percent of their ‘total salary’ as pension but the pension formula – adopted in 2003 – calculates the rate of pension on the basic pay. This is unfair. As per rules all other government organisations give their retired employees 50 percent of their salary as pensions. This was also in practice at PIA until 2003. Now, the management should resort to that practice. The retired employees have been demanding for a long time that the airline should either give them a 50 percent pension on the basic pay or 32 percent pension on their total salaries, without the said formula.
Bashir Ahmad (Karachi)