Akasa Air has taken 43 pilots to court for leaving the company without serving a mandatory six-month notice period which has impacted the airline’s operations.
Airline sources said the pilots’ exits have led to cancellations that have gone beyond estimates and could lead to halting of operations altogether if the situation continues. Pilots resigned after Akasa Air changed their salary structure.
In its petition, the airline also sought monetary compensation of Rs 21 crore, which includes the cost of training one pilot
The developments would make a dent in Akasa’s ambitious expansion plans. After Go Air’s grounding, Akasa became the third biggest player but it has now lost 1% market share by the end of August.
Pilots, who have quit, said that the airline violated the contractual agreement by altering the salary structure. In June, Akasa reduced the payment to Rs 7,500 from Rs 10,000 for every hour flown by a pilot beyond the monthly quota of 40 hours.
No Impact on Operations: Akasa Air After Pilots’ Resignations
Responding to CNN-News18’s queries, Akasa said they have sought legal remedy only against a small set of pilots who abandoned their duties and left without serving their mandatory contractual notice period.
“This was not only in violation of their contract but also the country’s civil aviation regulation. Not only is this illegal in law but also an unethical and selfish act that disrupted flights in August forcing last-minute cancellations,” it added.
The airline said the exits of pilots will not have an impact on its operations. “We are pleased to note that our disciplined approach has helped us to be well established with a strong financial profile to execute our ambitious plans. The airline that our team has created has generated cash from its first day of operations as a result of which the initial investment by our investors (including the investment made by Mr. Jhunjhunwala) continues to remain secure in our bank account. As a young airline, we are proud that we are adding to the company reserves even in the first year of our operations,” it said.
When asked about the salary structure being changed as complained by pilots, the airline said, “We have increased our overall compensation substantially on three separate occasions since the start of our operations in August 2022 and this has been well covered in the media. It is disingenuous for any employee to suggest otherwise.”
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