Jet Airways decides against sweeping pay cuts
India’s Jet Airways has shelved a proposal to cut employee salaries, following protests from staff.
The airline had reportedly contemplated slashing up to a quarter of the wages of non-management staff, so as to cut costs. Paychecks for July had also been put on hold, although these have since been paid out.
Senior management at the carrier had already taken pay cuts.
Jet Airways has struggled financially in the face of sinking oil prices and the weakening of the Indian rupee. Some media reports have suggested that the company will not survive past two months, and that it is seeking financial assistance from investment firms.
However, CEO Vinay Dube has said that “these reports are factually incorrect and malicious”.
Although employees met the pay cut reports with widespread discontent, the National Aviators Guild, which is the pilots’ union for the carrier, seemed to support the proposed move.
“Most of us have been loyal employees of Jet Airways and it would be a matter of pride to be a part of ensuring that it maintains its position as India’s premier airline, here and abroad. We look forward to a long and continued relationship with the company and are confident of the airline’s sustainability in short as well as the long term. We advise members to help us achieve our common goals,” it said in a statement.