No Layoffs At Revived Jet Airways, Pay Cuts To Affect Fraction Of Staff, Says CEO
There is no impact on two-thirds of Jet Airways staff, while one-third will be on temporary pay reduction, said its CEO.
No staff members have been axed in the run-up to revive Jet Airways Ltd., said its Chief Executive Officer Sanjiv Kapoor, in a bid to clear the air on job cuts at the grounded airline.
There is no impact on two-thirds of the workforce, while most of the remaining one-third will be on temporary pay reduction, Kapoor said in a series of tweets, on Friday.
Only a small portion, or approximately 10% of employees, will be on temporary leave without pay, he said.
"These are all good people who have been working hard to try to do what has never been done before: Revive an airline that has gone bankrupt. However with the ownership transfer timeline slipping due to factors outside our control, some temporary hard decisions had to be taken," Kapoor wrote.
"The team working to revive Jet was not responsible for Jet running out of cash and suspending operations. They are trying to revive the airline using fresh capital, to give consumers more choices, to create more jobs and bring back old jobs," he said.
Kapoor maintained that all staff will be paid full salaries for November.
Jet Airways is yet to resume operations, despite receiving regulator approval in May this year to recommence flights.
The Jalan-Kalrock Consortium, the new owner of the carrier, had earlier shared plans to resume flights by October 2022.
In separate statement, JKC board member Ankit Jalan, said, "The revived Jet Airways will also provide additional career opportunities, including the airline’s former staff who currently make up more than 60% of the current workforce, and for many more as the revived airline grows."
The combine said that while it awaits handover of the airline, "the longer-than-expected time being taken for the same may result in some difficult but necessary near-term decisions to manage our cash flows to secure the future while the airline is still not in our possession".
"We reaffirm that there has been no delay from the JKC to implement the resolution plan, and we are in full compliance of the approved plan," the statement read.