Jet mulls dropping pay cut plan for high-paid staff

Mumbai: Facing employee resistance, Jet Airways (India) Ltd is mulling withdrawing a plan to cut 2009 wages for those employees whose gross salary was at least Rs75,000 a month, three top executives familiar with the development said.
A section of pilots, engineers and senior management has said they are unwilling to accept a pay cut, a senior Jet Airways official said.
This executive, who did not want to be named as a decision has not been firmed up, said Indian pilots with the airline have instead suggested sacking foreign pilots who typically draw larger salaries. Foreign pilots comprise some 33% of Jet’s pilots and are often paid 50% more than their local counterparts. “Since pilots are not willing to accept suggested pay cuts, a section of engineers and senior management are (also) not willing to take pay cuts,” the executive added.
Representatives of Jet’s cabin crew have also approached the management asking that allowances shouldn’t be cut against a backdrop of the airline reducing its flights, said another executive who is familiar with the development. Cabin crew are paid allowances based on flying hours.
Ragini Chopra, a spokeswoman for Jet, said employees had volunteered to take a pay cut. “Over 50% of the employees have positively reacted to the proposal,” she claimed. “I cannot comment or disclose the details of this pay cut proposal since it is purely an internal matter.”
17/12/08 P.R. Sanjai/Livemint

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Categories: Jet Airways Dec 2008