SpiceJet is planning to pay Their employees as per their old paying structures they have decided to pay on work hour basis.
They have also said May salary will be paid on June 1st and the deferred amount will be released from the second week of June.
Reason behind this step by Spicejet
In a letter sent by SpiceJet HR it has been mentioned that company is resorting work based payment due to to “Extreme and unavoidable circumstances.” they are saying that aviation industry is severely impacted by this pandemic.
Due to restrict travel and other limitations LED domestic airlines to drop in revenue and cash flows after the second wave of this pandemic passengers are are not travelling which is is is less than 10% in comparison to the last year pandemic.
This is not a surprise as SpiceJet was struggling to pay their lease rentals before the incoming of second wave of the pandemic this is very sad that innovation industry is is going through such a phase.
Govt Issues Bans And Cap On Passengers
SpiceJet was one of the well renowned name in aviation industry and it was serving the nation with pride however in this tough time they are not able to manage due to lack in funds, earlier you have seen they have also experienced no International travels due to the ban extended by the DGCA on international flights till June 30.
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