An internal audit report of the Pakistan International Airlines (PIA) revealed that the national flag carrier’s pilots are overpaid despite low productivity and spend on luxurious hotels causing a loss of billions of rupees to the airlines.
The report, compiled by officials of the PIA and the Civil Aviation Authority, states that the productivity of pilots “was extremely low with respect to industry standards”. The airline pilots “were highly paid” even though 49% to 81% “were not even completing their flying hours.”
The internal audit also discloses that PIA pilots and cabin crews spend unnecessary amounts on expensive hotel stays in the country and when travelling out of the country, leading to a loss of billions of rupees. “The expenditure is totally unjustified,” the report notes.
During a stay in Karachi, the crew chooses to book five-star hotels, even though the PIA “owns a hotel in Karachi with a capacity of 300 rooms.”
The expenditure of the national flag carrier, the report adds, could have been saved if the crew and pilots utilized in-house facilities.
Similarly, when the crews travelled to international stations, it chose luxurious hotels over budgeted ones, resulting in a loss of nearly Rs408 million.
A further breakdown, provided in the report, states that Rs14 million were spent in hotel stays in Bangkok, Rs27 million in Beijing, Rs8 million in Birmingham, Rs26 million in Dubai, Rs2.4 million in Jeddah, Rs9 million in Kuwait, Rs1 million in Kuala Lumpur, Rs214 million in London, Rs27 million in Manchester, Rs2 million Oslo, Rs72 million in Paris and Rs7 million in Toronto.
PIA pilots, the reports adds, are highly paid with no productivity. “There is no accountability mechanism that ensures maximum output from the cabinet/cockpit crew.” Furthermore, it adds, the transfer postings of cabin crew are not merit based.
The report recommends that the hotel arrangements for both cabin crews and pilots be reviewed and those hotels should be approved which are close to the airports “to save funds.”
It also suggests revising the perks and pay scales of pilots.