Changes in ground-handling policy arbitrary: Airlines

Federation of Indian Airlines on Wednesday contended before the Delhi high court that the government’s change in ground-handling policy is arbitrary and is contrary to various provisions of law.

Ground handling work in airlines, includes passenger handling at the landside and ramp handling that involves loading and unloading of aircraft and aircraft handling.

Senior advocate Mukul Rohatagi who appeared on behalf of the airlines told a bench headed by chief justice Dipak Misra and justice Manmohan, “Ground-handling is an integral part of our business. It is vital for showing our efficiency and reputation in the market. The revised policy is illegal and arbitrary and bad in law.”

Airlines had challenged the revised policy promulgated by ministry of civil aviation and approved by parliament, under which ground handling can be done only by the state-owned Air India’s subsidiary, operators of the six metro airports and government-approved ground handling firms.

Currently, most airlines do their own ground-handling, which includes general administration, baggage, freight and mail handling, loading and unloading of aircraft and transport of crew, passengers and baggage, fuel handling and catering services.

The Union government had been trying to implement the new ground-handling policy since 2007 but has pushed back dates on the request of the airlines. The new policy will come to effect from January 1.

“The ministry is taking airline companies job and is giving it to another person. It is only like rotating an old hat,” Rohatagi said.
However, the hearing will continue on Thursday when the government will present its stand before the court.

Private airlines had earlier asked the government for permission to partly retain ground-handling facilities even after the new policy comes into effect to avoid losses to the exchequer.