No Salary Cuts While Domestic Flights Suspended: Indigo to Staff

The government-ordered flight suspension, to prevent COVID-19 spread, will be enforced from midnight on 24 March.

Updated25 Mar 2020, 08:24 AM IST
India
2 min read

Budget carrier IndiGo has assured its employees that it will not make any deduction in their salaries or leaves due to the suspension of domestic flights till 31 March.

The government's decision to suspend domestic flight would come into effect from midnight on Tuesday, 24 March, as part of larger efforts to curb spreading of coronavirus infections.

In an e-mail to his employees, IndiGo Chief Executive Officer Ronojoy Dutta said the company has "reasonable" level of advanced bookings for April and it was "anxious" to fly again albeit with a reduced capacity.

Make Efforts to Preserve Cash

"For those who don't have to be working during this temporary suspension of operations, we will make no deduction of salaries or leaves," Dutta said in the e-mail. PTI had accessed the e-mail. Stating that the last few days have been very challenging for the airline, he said "clearly for the next few weeks our revenues will be well below our costs and we will have to make our efforts to penny-pinch and preserve cash".

He also said that as employees “let us also be acutely cognizant of the fact that during this temporary suspension of operations, we will be spending our cash reserves to continue to pay salaries and benefits”.

Once this crisis is over, the airline will have to redouble its efforts to rebuild these cash reserves, Dutta added. The coronavirus has dealt the airline a 'hands of cards' it neither ask for or anticipate, he said. "Now it is all up to us employees to play our cards not just well but superbly to restore the full confidence of our customers and share holders trust in us," the airline chief said.

Moreover, Dutta, in the statement also stated that those passengers who are booked to travel till 30 September, can change their itinerary at zero change fee, for travel up till 30 September. The fare difference would have to be paid by the passenger during the time of alternative booking, he said.

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Published: 24 Mar 2020, 10:56 AM IST

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