Employees of the low-cost carrier Go First are uncertain about their future after the airline filed for bankruptcy on Tuesday. The airline has also suspended flight operations till May 5.
A Business Development Manager at the airline spoke to Business Today on the condition of anonymity. He highlighted that the company’s financial woes were evident to employees since the airline had delayed pay checks and reimbursements on multiple occasions in the past.
“We sort of knew it was not in the best financial condition because our salaries were frequently delayed. But we did not know that the condition was so severe. At least me and my immediate colleagues were not aware,” he said.
A cabin crew member, on the condition of anonymity, added that the staff is unaware of the company’s course of action after May 5.
“We don’t know what will happen after Friday. Everyone is concerned for the customers and their flights after Friday, but staff is also stuck in uncertainty. Nothing is being communicated to us properly,” she said.
She further noted that Go First was not considered to be the best employer in the Indian aviation sector.
“Within the industry, Go First was never known as the best employer, they did not pay as well as other airlines, there was lack of benefits as compared to other companies, and they were notorious for paycheck delays, etc. Best employer would be any of the gulf airlines. They pay the most money. After that, major Indian airlines like Vistara, IndiGo, maybe Air India, and then SpiceJet,” she explained.
The cabin crew member also highlighted that she believes the Indian aviation sector is one of the most unstable career options because of the constant airline ramp downs.
“I know people who were in Jet Airways when it shut operations, and this time I am facing it myself first hand. Employees are the worst hit when an airline shuts shop. Management takes their dues and leaves, customers' exposure is limited to the flights they have booked, but what about employees?” the distressed cabin crew member exclaimed.
She added that this upheaval would turn into an opportunity for other airlines as they would be able to absorb the 5,000 odd employees of Go Air at relatively lower salaries.
“This will cause a massive salary drop. Since most employees are facing uncertainty, they will be ready to work at a relatively low salary. Like I said, it is win-win for everyone but for employees,” said the Go First cabin crew member.
Business Today has reached out to Go First for a response on the same.
On Tuesday evening, Go First airline filed for bankruptcy at the National Company Law Tribunal over mounting losses. The airline asserts that the present crisis was triggered by engine manufacturer Pratt and Whitney's unwillingness to promptly provide 10 leased engines by April 27, 2023, followed by an additional 10 engines by December 2023, as mandated by the Singapore International Arbitration Centre (SIAC). The airline emphasised that if the engines had been delivered, they could have resumed full operations by August or September 2023.
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