In a surprising development within the Indian aviation sector, Alhind Air — one of the new airlines gearing up to begin operations — has reportedly placed some of its staff on unpaid leave shortly after obtaining a critical No Objection Certificate (NOC) from aviation authorities. The move has raised eyebrows industry-wide, prompting discussions about airline strategy, operational readiness, and financial planning.
What Happened
After securing the regulatory green light needed to launch commercial flight operations, Alhind Air asked certain employees to go on unpaid leave for a short period. This applies to select personnel who were actively involved in preparatory work such as training, documentation, or operational setup.
The decision has puzzled many, especially at a stage when the airline is supposed to be scaling up for full flight services. Employees report being informed that this leave is temporary but felt it needed clarification given the timing and context.
Why the Airline Took This Step
Aviation insiders suggest several reasons why Alhind Air might have adopted this approach:
1. Cash Flow and Cost Management
Starting an airline requires huge upfront expenditures — including leasing or purchasing aircraft, securing runway slots, training personnel, setting up systems, and meeting regulatory standards. It’s possible Alhind Air is aiming to manage expenses prudently as it waits for final operational approvals or funding inflows.
Unpaid leave can temporarily reduce payroll costs while keeping key employees attached to the company.
2. Phased Staffing Needs
In early operational phases, airlines sometimes optimise staffing levels to match immediate requirements. Some roles may not yet be essential until closer to the official flight launch date. Placing staff on unpaid leave — rather than laying them off — allows the airline to retain talent without bearing full salary costs before peak deployment periods.
3. Regulatory and Logistics Delays
Airlines often face regulatory, infrastructure, or logistics delays during launch phases. If operations are pushed back slightly or specific clearances are pending, a temporary unpaid leave policy can be a buffer strategy while timelines are finalised.
Reaction from Employees
Staff affected by the unpaid leave directive have expressed mixed reactions. Some understand the strategic reasons cited by management, while others feel uncertain about income stability during a critical career phase. Requests for clearer communication and assurances have emerged as key employee concerns.
Industry Perspective
Experts say such moves are not entirely unheard of in aviation, especially with startups and new carriers. Cash flow prudence and workforce planning are vital when launching capital-intensive services like airlines.
However, transparent communication is crucial to maintain morale and trust, particularly when a company has just reached a major milestone like securing its NOC.
Conclusion
Alhind Air’s decision to place staff on unpaid leave after securing operational clearance reflects the complex dynamics of airline launch strategies. While potential reasons include cost management and phased staffing, the situation highlights the importance of clear communication and employee assurance in the high-stakes world of aviation startups.
