As per the reports, the country’s largest airline, IndiGo has assured its employees of no cut in their April pay.
In the other development, the majority of 5,500-odd employees of GoAir will now be on “leave without pay” (LWP) till May 3 as its entire fleet remains grounded in the wake of the extended lockdown, the airline has said.
While SpiceJet has decided to send staff earning more than Rs 50,000 monthly salary on leave without pay on a rotational basis as reported by PTI.
What Does Indigo Say?
The Indigo CEO, Ronojoy Dutta told employees in an email on April 23 “In deference to our Government’s wishes of not reducing pay during the lockdown, we have decided not to implement the previously announced pay cuts during the month of April,”.
He further added”However, your Excom members and SVPs have volunteered to take pay cuts this month. For everyone else, you can expect your April salaries to be paid without the pay cuts,”.
As earlier, in his March mail to employees, Dutta had talked about the need to cut costs, and this a salary cut.
He himself took a 25 percent cut, the rest of the employees saw a trim ranging from five percent to 20 percent.
Basically, the decision to retain salaries will help bring some cheer in the sector that has been grounded by COVID-19.
As, all of IndiGo peers, including SpiceJet, GoAir and Vistara, have either cut pay or sent a large part of their staff on leave without pay.
What Does Spicejet Say?
“It is being clarified that no company-wide decision has been taken on the issue of salary cuts or leave without pay at SpiceJet for the month of April 2020. A limited number of staff from the engineering team has been put on leave without pay for a month each on a rotational basis,” Spicejet said in a statement.
Since the extension of the lockdown, most of the airlines had chalked out their plans to resume services from April 15 in expectation that the lockdown will be lifted.
What About GoAir?
The Wadia Group-owned airline, GoAir asked its employees to go on LWP on a rotational basis besides cutting their salaries, in March.
On Saturday, in a communication to its employees GoAir said “The lockdown has been further extended till May 3, and with this extension, our fleet continues to be completely grounded. Hence, we are constrained to request you to proceed on ‘leave without pay’ till May 3,”.
“We may, however, have to extend the period of ‘leave without pay’ for a further term, if so required,” GoAir added.
However, an official, said about 50 percent of the 5,500-odd employees, who are crucial for certain tasks even when there is no operation, continue to work and will be paid partial salary.
Further, he said that they are hopeful that the skies will reopen from May 4 and we will resume operations in a phased manner.
In the meantime, the airline also said it is working towards building its ability to scale up operations in the new environment and market conditions that would emerge going forward.
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