IndiGo Reinstates Salary Cut For Senior Employees From May
IndiGo’s logo sits on the underside of the aircraft as it approaches to land at Chhatrapati Shivaji International Airport in Mumbai. (Photographer: Dhiraj Singh/Bloomberg)

IndiGo Reinstates Salary Cut For Senior Employees From May


IndiGo airlines, operated by Interglobe Aviation Ltd., will cut salaries of senior staff May onwards and implement a "limited, graded leave-without-pay program" for May, June and July, its chief executive officer said on Friday.

India’s aviation industry came to a standstill when the nation went under the world’s strictest lockdown to contain the spread of the Covid-19 pandemic.

"While we had paid employee salaries in full for the months of March and April, I am afraid that we are left with no option but to implement the originally announced pay cuts from the month of May 2020," IndiGo CEO Ronojoy Dutta told employees in an internal email.

The Press Trust of India has seen a copy of the email.

While IndiGo had announced pay cuts for its senior employees on March 19, it had rolled them back on April 23 in deference to the "government's wishes".

On Friday, Dutta said in his email, "In addition (to salary cuts), given the gradual build-up of capacity, I am afraid we have to take the additional painful step of implementing a limited, graded leave without pay program for the months of May, June and July."

"This leave without pay will range from 1.5 days to 5 days depending on the employee group. While doing so, we will make sure that Level A employees, who form a majority of our workforce will not be impacted," he said.

He had on March 19 announced that IndiGo was instituting salary cuts for senior staff and that he would take the highest cut of 25 percent.

Also Read: India's Aviation Industry To Crash-Land In FY21: Crisil

"I am personally taking a 25 percent pay cut, senior vice presidents and above are taking 20 percent, vice presidents and cockpit crew are taking a 15 percent pay cut, assistant vice presidents, Bands D along with cabin crew will take 10 percent and Band Cs 5 percent," Dutta had said on March 19.

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