Home / This Week / Cover Stories / Role of PIA in corporate sector

Role of PIA in corporate sector

Corporate sector has crucial role in Pakistan business sector, socio-economic development and country development. Corporate sector includes different organization; NGOs companies took initiative for the achievement of particular goal and growth related to business and economy. This sector works collectively for the well-being of human and also provides social facilities. Many companies are famous that provides millions of dollar of donation for social welfare. Corporate sector also increase remarkable amount of employment which flourished many lives.

Among major sector one the valuable sector Pakistan International Airline Corporation Limited. The company was incorporated on January 10, 1955 and since working for commercial air transportation, cargo postal and carriage service. According to Pakistan International Airline Corporation first quarter report of 2020 PIA recorded total revenue net amount of Rs 36,442,959 which include passenger amount Rs 32,362,655; cargo Rs 1,050,111; excess baggage Rs 1, 80,05; charter service Rs 805,362; engineering service Rs 281,872; handling and related service Rs 281,872; mail Rs 37, 982 and other Rs 1,652,466, which has increased as compare to last year recorded at Rs 30,759,084.

Whereas the cost of service recorded total cost Rs 22,991,606 including salaries, wages and allowances Rs 3,575,513, welfare and social security cost Rs 426,943, retirement benefit Rs 735,521, compensated absence Rs 50,311, legal and professional charges Rs 6,058, store and spare council Rs 519,905, maintenance and overhaul Rs 4,070,143, flight equipment rental Rs 428,899, landing and handling Rs 5,783676, passenger service Rs 9,95,651, crew layover Rs 580,654, staff training Rs 3,093, utilities Rs 7,550, communication Rs 651,138, rent rates and taxes Rs 185,148, printing and stationary Rs 46,676, depreciation Rs 3,951,055, insurance Rs 776,568, amortisation of intangibles Rs 2,706, others Rs 194,307. The cost hasn’t showed much difference as compare to previous year. In 2019 cost recorded Rs 21,455,365. As above mention the total amount of revenue and cost is not equal with each other. The ratio of cost is higher than revenue. All over the world the public were traveling and using airline transportation. The business environment of PIA showed negligible growth in revenue while, world was facing pandemic. Cost amount which is much higher as compare to revenue. Such amount couldn’t change the fortune of PIA at front of international arena.


There are several reasons which hurt the reputation of Pakistan airline. According to many politicians aviation authority is trying to change and improving the department. Now PIA possess modern technologically airplanes, changes blade planes with jet planes, ensure availability of international flight with digital radar system. Other facilities included TV screen at back of the passenger’s seats of the planes but reality is quite different. They all blow their own trumpet. These facilities don’t meet the criteria of international airline. All these things are building block of aviation ministry. These facilities never enhance efficiencies of PIA that would rise as an impressive variable in future, which boost business as well as global relation. This entire little thing does not matter the thing which is a matter of human life.

Large businessmen, politicians and companies’ owner doesn’t prefer to use PIA service due to life safety. This factor lowers the passenger ratio, destroys status and service reputation client trust as well as engulfs aviation income or business at larger extend. The true example, this year on May 22, 2020 an unfortunate event took place where company Airbus A320 Operation flight PK8303 crashed near Jinnah International Airport Karachi. The incident snatched 97 precious lives including 89 passengers and 8 crew members.

PIA business could grow only in one case when state and authority took serious measure for the advancement of system, establish strong check and balance system, improve monitoring and evaluating system recruitment of job according to qualification and merit basis, staff management and unionization. Furthermore state should import new and advanced technological airplanes that ensure customer satisfaction, number of passenger and country business.

The author Faiza Saleem is a M.Phil research student of University of Karachi

Check Also

Branding milk in Pakistan

Branding milk in Pakistan

Everyone knows the famous adage from Shakespeare’s play, Romeo and Juliet, “What’s in a name? …

Leave a Reply