Kingfisher asks staff to adjust to delayed salaries

New Delhi: In a call to arms, the man running operations at financially stressed Kingfisher Airlines Ltd, India’s biggest airline by passengers, has asked its 6,000-plus employees to adjust to delayed salaries and embarrassing dealings with unpaid vendors in the months ahead that will decide if the airline survives a severe downturn, even as chairman Vijay Mallya tries to secure funding for the carrier.
The communication comes at a time that airlines across the globe are faced with difficult times, and follows a similar missive from the office of Air India chairman and managing director Arvind Jadhav asking employees to join hands in a “fight for survival”.
In an email sent late Saturday night, Hitesh Patel, executive vice-president, Kingfisher Airlines, wrote it was difficult to foresee what the future held for the carrier. But, “in a sense, our performance, our outlook over the next two months would dictate the shape of that battle,” he wrote, explaining how the airline was trying to improve its state of affairs.
An airline executive confirmed the receipt of the email, reviewed by Mint. Patel, who wrote the email after interactions with employees at four main bases for the airline, did not take calls for comment.
The era of “guests”, as Kingfisher Airlines calls its passengers, Patel said, was getting over with the growing market share of low-cost carriers (LCCs). “For the forseeable future, the market will be ruled by the LCCs,” Patel said, adding Kingfisher is following the trend and operating three of four of its flights as Kingfisher Red, its low-fare service.
The number of planes in Kingfisher Airlines’ fleet has been reduced to 69 from 89, added Patel, a former executive at JetBlue, a low-fare US airline.
29/07/09 Tarun Shukla/Livemint

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Categories: Kingfisher Jul 2009