SlideShare a Scribd company logo
WHY IS HR
ESSENTIAL TODAY?
HR ISSUES
   REETA SENACHA.
   NEETA SENACHA.
   LEENA A.
   REKHA CHOUDHARY.
   NAMRATHA SHARMA

           BBM III YEAR
 Indian Airlines was established in 1953
 Headquarter in Mumbai.
 On 27 February 2011, Air India and Indian
  Airlines merged along with their
  subsidiaries to form Air India Limited.
 It covers 75 destinations (59 within India
  and 16 abroad)
 With a fleet of over 130 aircrafts.
 IA and Alliance Air carried over 7.5 million
  passengers annually.
 Competitors- Sahara, Jet Airways and
  others.
 Inefficiency and excessive expenditure
  on human resources.
 Staff cost increased by Rs 5.9 billion .
 Frequent losses
 Govt. interference.
8
7
6
5
4
3                           in billion

2
1
    0

        1994-98
                  1998-99
Market Shares




                47%   IA
53%                   private players
   Pilots and crew members used unscrupulous
    methods to force the management to agree to
    all their demands.
   Strikes, go-slow agitations and wage
    negotiations were common.
   For each strike there was a different
    reason, pressurizing IA for more money.
   There were 13 agitations by 8 different unions.
   The pilots began the agitation demanding
    higher allowances for flying in international
    sectors
 They then refused to fly with people re-
  employed on a contract basis.
 Thereafter they went on a strike, saying
  that the cabin crew earned higher wages
  than them.
 Another agitation, with many pilots
  reporting sick at the same
 Asking for increased foreign
  allowances, fixed flying hours, free
  meals and wage parity with Alliance Air.
  It is the case of “Collective Bargaining”.
 Introduce variable pay and reduce basic pay
  which is purely based on performance.
 Government appoint a committee to look into
  the matter and find the problem and suggest
  appropriate steps which could resolve the
  matter.
 IA should introduce some non monetary
  benefits which could increase employee
  satisfaction.
 Air India has a five-day week; Indian Airlines
  has a six-day week.
 Indian Airlines pilots were promoted
  unconditionally once in six years while Air
  India pilots complained they got their turn
  after 10 years - if there was a vacancy.
 The ground handling teams of the two
  airlines continue to operate separately.
   Align staff by role, bring in lateral
    hires, overhaul customer facing
    functions, and implement a massive
    training exercise.
   Rein in pilots and engineers, even if it
    means a partial lockout.
   No qualification bar for Senior Executive's
   Lack of Continuity in planning.
   There was no fixed pricing strategy.
   Lack of performance evaluation.
   Underutilization of Manpower.
THE ECONOMIC TIMES
AND
TIMES OF INDIA
Thanking you

More Related Content

What's hot

Airindia
AirindiaAirindia
Airindia
Aks singh
 
AIR INDIA LIMITED AND INDIAN AIRLINE LIMITED MERGER
AIR INDIA LIMITED AND INDIAN AIRLINE LIMITED MERGERAIR INDIA LIMITED AND INDIAN AIRLINE LIMITED MERGER
AIR INDIA LIMITED AND INDIAN AIRLINE LIMITED MERGER
Sajjad Sayed
 
Indian Aviation - Air India - Global Outlook 2009-19
Indian Aviation - Air India - Global Outlook 2009-19Indian Aviation - Air India - Global Outlook 2009-19
Indian Aviation - Air India - Global Outlook 2009-19
Magdalena Anna Fas
 
Revival of air india
Revival of air indiaRevival of air india
Revival of air india
Kannan Rajarathnam
 
Reason for air-india crisis
Reason for air-india crisis Reason for air-india crisis
Reason for air-india crisis Ankit Chauhan
 
Corporate governance reference to case of Air India and Indian Airlines
Corporate governance  reference to case of Air India and Indian AirlinesCorporate governance  reference to case of Air India and Indian Airlines
Corporate governance reference to case of Air India and Indian Airlines
Avinash Sinha
 
Air India - Turnaround strategy
Air India - Turnaround strategyAir India - Turnaround strategy
Air India - Turnaround strategy
Mayank Agrawal
 
Air india final
Air india finalAir india final
Air india final
Swati Luthra
 
Air India - SWOT Anaysis
Air India - SWOT AnaysisAir India - SWOT Anaysis
Air India - SWOT Anaysis
Karan Jain
 
Air india
Air indiaAir india
Air india
Mohit Jane
 
MERGING OF INDIAN AIRLINES AND AIR INDIA
MERGING OF INDIAN AIRLINES AND AIR INDIAMERGING OF INDIAN AIRLINES AND AIR INDIA
MERGING OF INDIAN AIRLINES AND AIR INDIA
Gandham Rajesh
 
air india casestudy
air india casestudyair india casestudy
air india casestudy
Dhaval Bhoraniya
 
38155834 air-india-–-indian-airlines-merger
38155834 air-india-–-indian-airlines-merger38155834 air-india-–-indian-airlines-merger
38155834 air-india-–-indian-airlines-mergervivek mhatre
 
Air India's details
Air India's detailsAir India's details
Air India's details
Saru@Pondicherry University
 
recruitment and performance appraisal at air india ltd
 recruitment and performance appraisal at air india ltd recruitment and performance appraisal at air india ltd
recruitment and performance appraisal at air india ltdPrateek Gahlot
 
Problems faced by Jet airways
Problems faced by Jet airways Problems faced by Jet airways
Problems faced by Jet airways
AayushiTaparia
 
Air india
Air indiaAir india
Air india
Shubham Garg
 
Case study on Jet Airways
Case study on Jet AirwaysCase study on Jet Airways
Case study on Jet Airways
vervit khandelwal
 
Privatization of Air India
Privatization of Air IndiaPrivatization of Air India
Privatization of Air India
Indian Institute Of Mass Communications
 
Analysis on Air India strike on May 2012
Analysis on Air India strike on May 2012 Analysis on Air India strike on May 2012
Analysis on Air India strike on May 2012
Ragavendra Balaraman
 

What's hot (20)

Airindia
AirindiaAirindia
Airindia
 
AIR INDIA LIMITED AND INDIAN AIRLINE LIMITED MERGER
AIR INDIA LIMITED AND INDIAN AIRLINE LIMITED MERGERAIR INDIA LIMITED AND INDIAN AIRLINE LIMITED MERGER
AIR INDIA LIMITED AND INDIAN AIRLINE LIMITED MERGER
 
Indian Aviation - Air India - Global Outlook 2009-19
Indian Aviation - Air India - Global Outlook 2009-19Indian Aviation - Air India - Global Outlook 2009-19
Indian Aviation - Air India - Global Outlook 2009-19
 
Revival of air india
Revival of air indiaRevival of air india
Revival of air india
 
Reason for air-india crisis
Reason for air-india crisis Reason for air-india crisis
Reason for air-india crisis
 
Corporate governance reference to case of Air India and Indian Airlines
Corporate governance  reference to case of Air India and Indian AirlinesCorporate governance  reference to case of Air India and Indian Airlines
Corporate governance reference to case of Air India and Indian Airlines
 
Air India - Turnaround strategy
Air India - Turnaround strategyAir India - Turnaround strategy
Air India - Turnaround strategy
 
Air india final
Air india finalAir india final
Air india final
 
Air India - SWOT Anaysis
Air India - SWOT AnaysisAir India - SWOT Anaysis
Air India - SWOT Anaysis
 
Air india
Air indiaAir india
Air india
 
MERGING OF INDIAN AIRLINES AND AIR INDIA
MERGING OF INDIAN AIRLINES AND AIR INDIAMERGING OF INDIAN AIRLINES AND AIR INDIA
MERGING OF INDIAN AIRLINES AND AIR INDIA
 
air india casestudy
air india casestudyair india casestudy
air india casestudy
 
38155834 air-india-–-indian-airlines-merger
38155834 air-india-–-indian-airlines-merger38155834 air-india-–-indian-airlines-merger
38155834 air-india-–-indian-airlines-merger
 
Air India's details
Air India's detailsAir India's details
Air India's details
 
recruitment and performance appraisal at air india ltd
 recruitment and performance appraisal at air india ltd recruitment and performance appraisal at air india ltd
recruitment and performance appraisal at air india ltd
 
Problems faced by Jet airways
Problems faced by Jet airways Problems faced by Jet airways
Problems faced by Jet airways
 
Air india
Air indiaAir india
Air india
 
Case study on Jet Airways
Case study on Jet AirwaysCase study on Jet Airways
Case study on Jet Airways
 
Privatization of Air India
Privatization of Air IndiaPrivatization of Air India
Privatization of Air India
 
Analysis on Air India strike on May 2012
Analysis on Air India strike on May 2012 Analysis on Air India strike on May 2012
Analysis on Air India strike on May 2012
 

Viewers also liked

Human Resource Mangemnet
Human Resource MangemnetHuman Resource Mangemnet
Human Resource Mangemnetguest5e0c7e
 
HRM Assignment - RISE University
HRM Assignment - RISE UniversityHRM Assignment - RISE University
HRM Assignment - RISE University
Rise University
 
Merger integrated Organizations and HRM
Merger integrated Organizations and HRM Merger integrated Organizations and HRM
Merger integrated Organizations and HRM
Prashant Mehta
 
Strategic human resource managementHR challenge during merger,Potential chall...
Strategic human resource managementHR challenge during merger,Potential chall...Strategic human resource managementHR challenge during merger,Potential chall...
Strategic human resource managementHR challenge during merger,Potential chall...
Md.Shakilur rahman
 
Merger and acquisition
Merger and acquisitionMerger and acquisition
Merger and acquisitionRajib jena
 
HR - Capability Management Revisited
HR - Capability Management RevisitedHR - Capability Management Revisited
HR - Capability Management RevisitedSantanu Pathak
 
Human Resource Management in Pakistan
Human Resource Management in PakistanHuman Resource Management in Pakistan
Human Resource Management in Pakistan
Gulfam Raza
 
Human Resource Management Assignment Sample
Human Resource Management Assignment SampleHuman Resource Management Assignment Sample
Human Resource Management Assignment Sample
Assignment Desk
 
Causes of employee turnover Research
Causes of employee turnover ResearchCauses of employee turnover Research
Causes of employee turnover ResearchHassan Karamat Mughal
 

Viewers also liked (10)

Hrm assignment
Hrm assignmentHrm assignment
Hrm assignment
 
Human Resource Mangemnet
Human Resource MangemnetHuman Resource Mangemnet
Human Resource Mangemnet
 
HRM Assignment - RISE University
HRM Assignment - RISE UniversityHRM Assignment - RISE University
HRM Assignment - RISE University
 
Merger integrated Organizations and HRM
Merger integrated Organizations and HRM Merger integrated Organizations and HRM
Merger integrated Organizations and HRM
 
Strategic human resource managementHR challenge during merger,Potential chall...
Strategic human resource managementHR challenge during merger,Potential chall...Strategic human resource managementHR challenge during merger,Potential chall...
Strategic human resource managementHR challenge during merger,Potential chall...
 
Merger and acquisition
Merger and acquisitionMerger and acquisition
Merger and acquisition
 
HR - Capability Management Revisited
HR - Capability Management RevisitedHR - Capability Management Revisited
HR - Capability Management Revisited
 
Human Resource Management in Pakistan
Human Resource Management in PakistanHuman Resource Management in Pakistan
Human Resource Management in Pakistan
 
Human Resource Management Assignment Sample
Human Resource Management Assignment SampleHuman Resource Management Assignment Sample
Human Resource Management Assignment Sample
 
Causes of employee turnover Research
Causes of employee turnover ResearchCauses of employee turnover Research
Causes of employee turnover Research
 

Similar to Assignment on HR issues.

Frankfinn Aviation Assignment 2015
Frankfinn Aviation Assignment 2015Frankfinn Aviation Assignment 2015
Frankfinn Aviation Assignment 2015
HSE Guru
 
Failure of Jet Airways
Failure of Jet AirwaysFailure of Jet Airways
Failure of Jet Airways
Anup Joseph
 
air india.pptx
air india.pptxair india.pptx
air india.pptx
ManikantaARIKAPUDI
 
Indian Aviation Industry
Indian Aviation IndustryIndian Aviation Industry
Indian Aviation Industry
Sheetal Kumbhare
 
Spicejet-Hope is in the air?
Spicejet-Hope is in the air?Spicejet-Hope is in the air?
Spicejet-Hope is in the air?
RBSA Advisors
 
A Study On Customer Satisfaction In Airline Industry At LPU
A Study On Customer Satisfaction In Airline Industry At LPUA Study On Customer Satisfaction In Airline Industry At LPU
A Study On Customer Satisfaction In Airline Industry At LPU
Deja Lewis
 
Analysis of Financial Statements of Kingfisher
Analysis of Financial Statements of KingfisherAnalysis of Financial Statements of Kingfisher
Analysis of Financial Statements of Kingfisher
Divya Tibrewal
 
Gr.5_STM_Project Report_Air India (1).pdf
Gr.5_STM_Project Report_Air India (1).pdfGr.5_STM_Project Report_Air India (1).pdf
Gr.5_STM_Project Report_Air India (1).pdf
ISHANRATH
 
Short case study on Jet airways
Short case study on Jet airways Short case study on Jet airways
Short case study on Jet airways
Sudhanshu Malewar
 
Bel kingfisher
Bel kingfisherBel kingfisher
Bel kingfisher
Sneha Singhania
 
Newsletter dated 22nd December, 2015
Newsletter dated 22nd December, 2015Newsletter dated 22nd December, 2015
Newsletter dated 22nd December, 2015
Rajiv Bajaj
 
Industry analysis
Industry analysisIndustry analysis
Industry analysis
SURENDRA PATIL
 
A case on air india’s pilot strike of
A case on air india’s pilot strike ofA case on air india’s pilot strike of
A case on air india’s pilot strike of
Sonali Garwal
 
A case on air india’s pilot strike
A case on air india’s pilot strikeA case on air india’s pilot strike
A case on air india’s pilot strike
Sonali Garwal
 
Low cost airlines in INdia
Low cost airlines in INdiaLow cost airlines in INdia
Low cost airlines in INdia
mehakmonga
 

Similar to Assignment on HR issues. (20)

Ib
IbIb
Ib
 
Frankfinn Aviation Assignment 2015
Frankfinn Aviation Assignment 2015Frankfinn Aviation Assignment 2015
Frankfinn Aviation Assignment 2015
 
Failure of Jet Airways
Failure of Jet AirwaysFailure of Jet Airways
Failure of Jet Airways
 
air india.pptx
air india.pptxair india.pptx
air india.pptx
 
Indian Aviation Industry
Indian Aviation IndustryIndian Aviation Industry
Indian Aviation Industry
 
Spicejet-Hope is in the air?
Spicejet-Hope is in the air?Spicejet-Hope is in the air?
Spicejet-Hope is in the air?
 
A Study On Customer Satisfaction In Airline Industry At LPU
A Study On Customer Satisfaction In Airline Industry At LPUA Study On Customer Satisfaction In Airline Industry At LPU
A Study On Customer Satisfaction In Airline Industry At LPU
 
Analysis of Financial Statements of Kingfisher
Analysis of Financial Statements of KingfisherAnalysis of Financial Statements of Kingfisher
Analysis of Financial Statements of Kingfisher
 
Gr.5_STM_Project Report_Air India (1).pdf
Gr.5_STM_Project Report_Air India (1).pdfGr.5_STM_Project Report_Air India (1).pdf
Gr.5_STM_Project Report_Air India (1).pdf
 
Short case study on Jet airways
Short case study on Jet airways Short case study on Jet airways
Short case study on Jet airways
 
Bel kingfisher
Bel kingfisherBel kingfisher
Bel kingfisher
 
Newsletter dated 22nd December, 2015
Newsletter dated 22nd December, 2015Newsletter dated 22nd December, 2015
Newsletter dated 22nd December, 2015
 
Hr news file
Hr news fileHr news file
Hr news file
 
Industry analysis
Industry analysisIndustry analysis
Industry analysis
 
S3 group4 jet airways
S3 group4 jet airwaysS3 group4 jet airways
S3 group4 jet airways
 
A case on air india’s pilot strike of
A case on air india’s pilot strike ofA case on air india’s pilot strike of
A case on air india’s pilot strike of
 
A case on air india’s pilot strike
A case on air india’s pilot strikeA case on air india’s pilot strike
A case on air india’s pilot strike
 
Merging
MergingMerging
Merging
 
Low cost airlines in INdia
Low cost airlines in INdiaLow cost airlines in INdia
Low cost airlines in INdia
 
Air
AirAir
Air
 

Assignment on HR issues.

  • 3. REETA SENACHA.  NEETA SENACHA.  LEENA A.  REKHA CHOUDHARY.  NAMRATHA SHARMA BBM III YEAR
  • 4.  Indian Airlines was established in 1953  Headquarter in Mumbai.  On 27 February 2011, Air India and Indian Airlines merged along with their subsidiaries to form Air India Limited.  It covers 75 destinations (59 within India and 16 abroad)  With a fleet of over 130 aircrafts.  IA and Alliance Air carried over 7.5 million passengers annually.
  • 5.  Competitors- Sahara, Jet Airways and others.  Inefficiency and excessive expenditure on human resources.  Staff cost increased by Rs 5.9 billion .  Frequent losses  Govt. interference.
  • 6. 8 7 6 5 4 3 in billion 2 1 0 1994-98 1998-99
  • 7. Market Shares 47% IA 53% private players
  • 8. Pilots and crew members used unscrupulous methods to force the management to agree to all their demands.  Strikes, go-slow agitations and wage negotiations were common.  For each strike there was a different reason, pressurizing IA for more money.  There were 13 agitations by 8 different unions.  The pilots began the agitation demanding higher allowances for flying in international sectors
  • 9.  They then refused to fly with people re- employed on a contract basis.  Thereafter they went on a strike, saying that the cabin crew earned higher wages than them.  Another agitation, with many pilots reporting sick at the same  Asking for increased foreign allowances, fixed flying hours, free meals and wage parity with Alliance Air.
  • 10.  It is the case of “Collective Bargaining”.  Introduce variable pay and reduce basic pay which is purely based on performance.  Government appoint a committee to look into the matter and find the problem and suggest appropriate steps which could resolve the matter.  IA should introduce some non monetary benefits which could increase employee satisfaction.
  • 11.
  • 12.  Air India has a five-day week; Indian Airlines has a six-day week.  Indian Airlines pilots were promoted unconditionally once in six years while Air India pilots complained they got their turn after 10 years - if there was a vacancy.  The ground handling teams of the two airlines continue to operate separately.
  • 13. Align staff by role, bring in lateral hires, overhaul customer facing functions, and implement a massive training exercise.  Rein in pilots and engineers, even if it means a partial lockout.  No qualification bar for Senior Executive's  Lack of Continuity in planning.  There was no fixed pricing strategy.  Lack of performance evaluation.  Underutilization of Manpower.