\u2022 People\u2019s Unity alleges privatisation bidding process lacked transparency; employees barred from participation
\n\u2022 Claims collective bargaining agent has expertise to turn around loss-making flag carrier<\/p>\n
ISLAMABAD: In what appeared to be a lost battle, the PIA Employees\u2019 Combined Bargaining Agent (CBA), People\u2019s Unity, has asked the government to put on hold the signing of the airline\u2019s share purchase agreement (SPA) and the transfer of management control to the Arif Habib-led consortium until consideration of its reservations and a counter-offer.<\/p>\n
In a letter to PIA\u2019s board of directors, the Ministry of Defence and the Ministry of Privatisation, the union alleged that the privatisation process culminating in the bidding was non-transparent, claiming that employees were not allowed to participate. It said the CBA had the expertise to turn around the loss-making national carrier through professional management and a competent board.<\/p>\n
People\u2019s Unity President Hidayatullah Khan said the government was repeating \u201cthe blunder\u201d of selling the airliner to Arif Habib Group, whose earlier takeover attempt of Pakistan Steel Mills was declared illegal by the Supreme Court two decades ago and which had only recently penalised by the Competition Commission of Pakistan for cartelisation in steel sector.<\/p>\n
The union said that, as the CBA, it represented employees and was a key stakeholder. \u201cWe applied to participate in the bidding process for healthy competition but were declined by the Privatisation Commission,\u201d Mr Khan said.<\/p>\n
He added that the union had \u201cserious reservations\u201d about the privatisation of Pakis\u00adtan International Airlines Corporation Ltd (PIACL) and the transfer of 75pc shares with management control, alleging the process lacked transparency and \u201cvaluation of assets\u201d.<\/p>\n
The union further alleged that the process \u2014 from expression of interest to bidding, approved by the Cabinet Committee on Privatisation (CCOP) and the cabinet \u2014 was conducted \u201cwithout due diligence\u201d, and claimed it bypassed the Council of Common Interests (CCI).<\/p>\n
It also argued that the PIA Act, amended in 2016, authorised the conversion of PIA into a public limited company but did not permit \u201coutright privatisation\u201d through the transfer of majority control.<\/p>\n
The union demanded an urgent meeting before the SPA is signed and management transferred \u201cto avoid repetition of blunders\u201d in earlier privatisation efforts.<\/p>\n
Quoting the Supreme Court\u2019s 2006 ruling in the PSM case, the union said the apex court had held that the privatisation process was vitiated by acts of omission and commission, including alleged violations of mandatory legal provisions and rules, which affected decisions on prequalification, valuation and the final terms offered and declared the process void and of no legal effect.<\/p>\n","protected":false},"excerpt":{"rendered":"
\u2022 People\u2019s Unity alleges privatisation bidding process lacked transparency; employees barred from participation \u2022 Claims collective bargaining agent has expertise to turn around loss-making flag carrier ISLAMABAD: In what appeared to be a lost battle, the PIA Employees\u2019 Combined Bargaining Agent (CBA), People\u2019s Unity, has asked the government to put on hold the signing of […]<\/p>\n","protected":false},"author":1,"featured_media":14907,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-14906","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-news"],"_links":{"self":[{"href":"https:\/\/weeklyyoung.pk\/index.php?rest_route=\/wp\/v2\/posts\/14906","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/weeklyyoung.pk\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/weeklyyoung.pk\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/weeklyyoung.pk\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/weeklyyoung.pk\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=14906"}],"version-history":[{"count":1,"href":"https:\/\/weeklyyoung.pk\/index.php?rest_route=\/wp\/v2\/posts\/14906\/revisions"}],"predecessor-version":[{"id":14908,"href":"https:\/\/weeklyyoung.pk\/index.php?rest_route=\/wp\/v2\/posts\/14906\/revisions\/14908"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/weeklyyoung.pk\/index.php?rest_route=\/wp\/v2\/media\/14907"}],"wp:attachment":[{"href":"https:\/\/weeklyyoung.pk\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=14906"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/weeklyyoung.pk\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=14906"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/weeklyyoung.pk\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=14906"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}