Wednesday, August 19, 2009

What'cha gonna do... about Indian Airlines?

Recently, I've been reading a lot about Air India / Indian Airlines and their troubles.

Given their current situation, I do not believe that the Indian Government should grant them any bailout as they've requested.

Planning to cancel confirmed orders for new planes is also going to cause a huge hit to their collective pocketbook.

Instead, they should negotiate an "offset" of the manufacturing of the new planes ordered; eg. demand that portions of the new planes be manufactured in India.

This will allow IA/AI staff to be better utilized, thus avoiding layoffs, as well as serve as a boost to Indian manufacturing, small scale industries and micro-manufacturing units.

No comments: