Jet Airways culling employees in batches, says report

Last Updated: Tue, Nov 27, 2018 17:22 hrs
Jet Airways (AP photo)

Debt-laden Jet Airways may be resorting to culling employees in batches. This according to a <i>PTI</i> report released on Tuesday.

The news-agency in a report said ground staff working in Kochi and Hyderabad offices were dismissed from their jobs. A total of 16 employees were handed the pink-slip, asserted the report.

The report also cited it's source saying, "The airline continues to layoff people from various departments in small groups. It has already shut its city office in Hyderabad, which had 4-5 employees. Last week, the airline asked some of its employees working in Kochi office to quit. Together, it has retrenched another 16 people from these two offices," said the source.

The incident is in addition to 20 employees that the company fired in the last month. In this instance, senior level executives from the in-flight service department bore the brunt.

The carrier had similarly fired 15 employees from various departments such as engineering, security and sales.

The company as part of its response said that it was optimising its resources in select cities. "Jet Airways has undertaken a series of initiatives to enhance the economic performance, efficiency and productivity for the long-term health of its business," a Jet Airways spokesperson had been quoted as saying.

Jet Airways, partially owned by Etihad Airways of Abu Dhabi, posted a net loss of Rs 1261 crores during the quarter ending September. The company's debt payments were reportedly stalled and it faced difficulty paying salaries to it's staff. The Naresh Goyal-promoted full-service carrier has a fleet of 124 planes and employs a workforce running to around 16,000 heads.

The recent financial turbulence lead to speculation that the promoters were actively looking for fresh infusions. Recently, officials from Tata & Sons, promoters of full-carrier Vistara Airlines were reported as discussing a purchase in Jet Airways. The deal has so far not materialized, however, various reports have said that Jet Airways was in talks with several investors to secure financing.