Jet to restore salaries cut in ’08, ’09

New Delhi: The New Year will signal the end of slowdown woes for employees of most airlines. Jet Airways, India’s biggest airline, had cut salaries in 2008 and 2009 by up to 25% to survive the downturn. Now from January , 2011, it is planning to revert to 2008 levels. This move will come on the heels of Jet taking back some cabin crew staffers it had fired in 2008.
A senior aviation ministry official said fortunes of airlines are looking up thanks to the sharp growth in passenger numbers. “Airlines are inducting more aircraft and demand for professionals is rising. Some airlines have begun restoring wage cuts, giving hikes and things look bright for aviation,” said the official.
Naresh Goyal-owned Jet’s firing of 500-odd cabin crew staffers in 2008 had signalled the beginning of crisis in Indian aviation. Jet had then gone on for a graded cut in salaries. Except Air India and some LCCs, almost all airlines went in for retrenchments and wage cuts. Pilots’ allowances were cut.
“We did some salary restoration some time back and are planning for another round in January. The final details are being worked out,” said a Jet source. A few months back, Jet had contacted the cabin crew staffers it had laid off during slowdown . About 250 of the exemployees came back, including some who had joined Gulf carriers.
Airlines are now back to poaching, talent from each other. In last two months, there has been a flight of pilots from one airline to another.
25/12/10 Saurabh Sinha/Times of India