SpiceJet to cut 1,400 jobs

Indian carrier SpiceJet will lay off 1,400 employees in a bid to cut costs and attract investors, according to media reports.

Source: PTI

This number constitutes 15 per cent of the airline's total workforce and the layoffs have already started, it added.

Source: SpiceJet

According to the media report, the airline has reportedly been delaying salary payments for several months.

Source: SpiceJet

It claims that many employees have not received their January pay. Its total salary bill currently stands at Rs 60 crore.

Source: X

So, the layoffs are being done to align companywide costs against operational needs.

Source: PTI/ Representational

Eyeing a fund infusion of ₹2,200 crore, SpiceJet said the funding plans are on track and an announcement is expected soon.

Source: PTI

With 9,000 employees working with the airline currently, SpiceJet operates about 30 planes.

Source: ANI

Of these, eight planes are wet-leased from international carriers, along with the crew and pilot.

Source: X

In 2019, when the airline was at its peak, SpiceJet had a fleet of 118 planes and 16,000 employees.

Source: Pexels

Akasa Air, with 3,500 employees for a fleet of 23 planes, is SpiceJet's nearest rival.

Source: Akasa Air Boeing 737 MAX 8

The share price of the airline fell after the news surfaced. On Monday morning, the shares of the company were down 3.8 per cent.

Source: Unsplash