Financial mayhem makes Planes fly low

Author: Pushpak Srivastava

The Aviation Industry is facing its toughest times, for sure. Companies have been trying to do whatever they can to cut costs and remain competitive. Employees not even confirmed for their jobs are being handed over pink-slips. One after the other, every known group is sacking its people, be it a crew member or management personnel.

Jet Airways has already made life tough for 850 of its ex-employees, and is looking forward to do it for 1,050 more. This act of laying-off is estimated to save nearly 60Cr per year. Besides the retrenchment process, number of flights will also undergo a cut of 15%, both domestic and international ones.

Kingfisher has been in a tizzy regarding the issue, with acceptances and denials related to the fact coming continuously, from the Chairman, Vijay Mallya. He recently said that Kingfisher chooses the staff members by putting a lot of efforts into it and that the company did not have any excess staff, so no question of shedding is there. On the other side, the series of putting blames on one another has started in the political circles. The Civil Aviation Minister Praful Patel suggested increased credit flow as the solution whereas Murli Deora has his own set of woes, the soaring oil prices being the most immediate. Whatever it is, no one is giving a thought to the plight of the anxious faces caught up in the turmoil and left wandering for their future.

Advertisement
   Contact Us | About Us   Copyright © 2008 EconomyNews.in