New Delhi: IndiGo, India's largest airline, has reversed its decision to implement a pay cut of up to 25% for its employees' and has now decided to pay most of them full salaries for the month of April.
"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," the airline's chief executive Ronojoy Dutta told employees in an e-mail.
"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," he added.
On March 19, IndiGo announced a 5-15 percent cut in salaries of pilots, cabin crew, assistant vice presidents, vice presidents, Band C, and Band D employees.
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During the pay cut announcement, Dutta had informed employees that survival of the airline industry was at stake and he would take a pay cut of 25 percent and senior vice-presidents and above would take a pay cut of 20 percent. All the changes in salaries were to come into effect from April 1, 2020.
According to aviation consultancy firm Capa, India’s aviation industry is expected to post losses of $3-3.6 billion in the June quarter because of COVID-19. Amid the nationwide lockdown, the passenger air traffic movement is banned in the country since March 25.
