NAC says it is not renewing contract of 145 contract-based employees

Published On: July 22, 2020 08:48 PM NPT By: Republica  | @RepublicaNepal

KATHMANDU, July 22: Nepal Airlines Corporation (NAC) has said that financial constraints have forced the company to not renew contracts of more than 100 contract-based employees.

In response to the resistance from the employees regarding the company’s decision to lay off 145 staff from the new fiscal year, the meeting of the board of directors on Wednesday decided not to change the decision. The contract of the 145 contract-based employees has been terminated, effective FY 2020/21.   

Issuing a statement on Wednesday, the company stated that the report of its organizational and management survey will be out very soon. “The estimation of NAC’s manpower management will be made available only after the report is out,” it read, “COVID-19 has directly impacted the flight frequencies of domestic and international flights, increasing the financial burden of the corporation.”

The NAC said that it is not in a position to pay the capital and interest of the loans of the purchased aircrafts. 

According to the statement, the company will manage the manpower according to the need of the company after it starts the scheduled flights. “The company has adopted a policy to manage its human resource from the existing contract-based manpower,” it further added.


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