Taking flight: PIA MD replaced as airline gears up for sell-off
The government on Monday replaced Pakistan International Airlines (PIA) Managing Director Junaid Yunus with another senior airline official, ending days of speculation about possible changes at the top management level.
Director Corporate Planning Shahnawaz Rehman has been appointed as MD of the national flag carrier at a time when it is losing billions of rupees every year and the government has come under increasing pressure from the International Monetary Fund (IMF) to resolve the airline’s longstanding issues.
Yunus, a senior PIA pilot, was appointed in October 2012 by the former Pakistan Peoples Party (PPP) government. Those within the industry say it is a ‘miracle’ that he has survived so many months under the present government as head of the airline. Last week, Yunus proceeded on a long leave that raised eyebrows as his absence comes at a time when PIA is making the crucial decision to lease at least 10 aircraft.
A PIA spokesperson said the government is considering another important assignment for Yunus as adviser to PIA Chairman Muhammad Ali Gardezi. “This is basically part of the government’s plan to sell off the airline,” an official told The Express Tribune.
It is widely believed that Yunus is part of a group of senior PIA officials who are against distribution of the airline’s assets and its sale. He has consistently maintained that the airline can come out of the red if it has the right mix of aircraft.
After successive quarters of heavy losses, the airline saw improvement in its January-March 2014 quarter as net losses came down 77 per cent to Rs1.98 billion against Rs8.62 billion in the comparative period in 2013. The national carrier posted its highest loss in 2013. Total liabilities also surged to Rs306 billion from Rs272 billion, mainly because of interest payments and other dues. Rehman has over 38 years of service in PIA, most of which were spent in the corporate planning department.
People who have worked closely with him say Rehman has mostly remained under the radar, especially because of his hesitance in taking key decisions. “He is very indecisive. He will talk to 10 people before taking a decision,” said a former colleague.
Published in The Express Tribune, July 15th, 2014.
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1732549780-0/Speaker-Na-photo-22_04_2014-(1)1732549780-0-270x192.webp "negotiations underway between government pti over sit in venue")
@Irshad patel: Over 700 employees per aircraft, that's four times as much as other airlines. PIA has been milked for years
@Irshad patel: With due respect to the math guys, things have not improved in Europe and North America under their stewardship. They have been tried and some are still at the helm. They have been clipping expenses that even the training has become shoddy. There is direct evidence in at least a couple of crashes due to this and a major shakedown in standards was organized by the FAA and also after the recent Air France disaster.This gentleman is not a God but remains a good bet as any. You can never have everything right and know everything, something has to be assumed to make a decision.
Talking to your colleagues and taking them into confidence is called "teamwork" not indecisiveness!
All our valid concerns and known ones but these cant be fixed unless government supports the management and let them run as a private corporation with the goal of being profitable. You are asking an airline to run as a private entity with all the pressures from the government...math does not add up. I think we should wish him luck as at last we have someone to take the helm of affairs who has the right experience and has a lot of respect in the industry.
How would a Corporate guy run an airline? Ready for another failure. Pilot and now Corporate. .....need a refined accountant to use billions of rupees paid as salaries. Pay one time and trim work force with the promise to bring back who are let go.
Second largest airline in the world has over 500 planes and 75000 plus employees. How many planes does PIA have and employees?
This gentleman has a lot of experience in the airline where it is needed. We have a good operations and maintenance set up in place and the employees should be happy that the choice made is from amongst them, from the right department, and an earned appointment from the looks of it. I wish him good luck.
PIA is a perfect example of everything that dragged us down over the last 35 years.
Replacement and appointment is a political issue, no Government does in PIA or Country benefit, I dont know when we will be able to work on merit.. God help us, good article by writer