New Delhi, Apr 29: The government today said the legal process of merger of Air India and Indian Airlines into a new company -- the National Aviation Company of India Limited (NACIL) -- had been completed and the complete merger of the two airlines would be achieved over the next 18 months.
In a written reply in the Rajya Sabha, Civil Aviation Minister Praful Patel said a new board of NACIL had already been constituted, and due care had been given to the interest of the employees in the scheme of amalgamation. approved by the Corporate Affairs Ministry.Mr Patel also informed that all employees of the erstwhile Indian Airlines and Air India had become empoloyees of NACIL without any interruption of service and on the same terms and conditions applicable to them on the date of merger.
A three-tier Grievance Redressal Machinery had also been put into place to address employees' grievances.
Replying to another query, the minister said the market share of domestic passengers of NACIL was pegged at 15,7 per cent and that of private airlines at 84.3 per cent.
He also said the government did not compare the productivity, profitability and cost effect of NACIL with private airlines like jet Airways or Kingfisher.