Indian Airline to make huge staff cuts

Sharon Petersen

By Sharon Petersen Tue Feb 13, 2024

Indian airline SpiceJet has announced a significant workforce reduction strategy in response to its financial instability and legal battles. The airline is looking to lay off around 1,000 employees in a bid to cut costs and streamline operations amidst a reduced fleet size, officials revealed on Monday.

A SpiceJet spokesperson acknowledged the implementation of measures aimed at achieving profitable growth, including manpower rationalisation but specific figures were not provided.

According to FinancialExpress.com an internal memo stated that priorities for the airline include fleet modernisation, improved punctuality, and rigorous cost-cutting measures to streamline operations.

The airline has reduced its Boeing 737 fleet by almost half since last year and has already allowed to 43 of its pilots to leave the airline without serving the mandatory six-month notice period.

"As we currently have a surplus of pilots after fleet reductions, we are looking for ways to adjust staffing headcount down accordingly. We are looking into ways to do this in a fair and reasonable manner, keeping in mind related regulations and balancing the interests of all stakeholders," the airline had said in a statement last month.

Financial Express reports that with approximately 9,000 employees on board, the airline is contemplating reducing its workforce by 10-15 percent. Such a reduction could result in the termination of around 1,350 employees. The planned layoffs are expected to affect various departments, with the final list currently under preparation.

The airline’s cessation of operations on certain regional routes has resulted in excess staff at these hubs and difficulty relocating them to other parts of the business.

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