scorecardresearch
Clear all
Search

COMPANIES

No Data Found

NEWS

No Data Found
Sign in Subscribe
Akasa Air in a state of crisis after 43 pilots resign; expects to cancel 700 flights

Akasa Air in a state of crisis after 43 pilots resign; expects to cancel 700 flights

Akasa Air pilots resign: The sudden resignation of the pilots has forced the carrier to cancel 24 flights per day in September.

Akasa Air in trouble after 43 pilots resign Akasa Air in trouble after 43 pilots resign
SUMMARY
  • Akasa Air says it is in a state of crisis and might shut down
  • 43 Akasa Air pilots left the airline to join a rival group
  • The airline cancelled 700 flights in August, and expects to cancel as many in Sept

The newly launched Akasa Air is in a state of crisis and might have to shut down, following the resignations of 43 pilots, the airline told Delhi High Court on Tuesday. The sudden resignation of the pilots has forced the carrier to cancel 24 flights per day in September. Akasa Air, later in a statement, added that they are prepared for "unforeseen circumstances and have contingency management strategies". They also said that they have a strong financial profile. 

According to a report in Business Standard, since the pilots did not serve their mandatory notice period of 6 months (for first officers) or 1 year (for captains), Akasa Air was forced to cancel scores of flights each day, the airline’s counsel told Justice Manmeet Pritam Singh Arora. 

The pilots have reportedly joined Akasa Air’s rival airlines. The report, citing sources, stated that a top executive wrote a letter to a rival group expressing the airline’s concerns over the pilots’ exit and called it unethical. 

As it stands, Akasa Air, that operates 120 flights a day, is expecting to cancel 600-700 flights this month alone if the resignations continue. It had cancelled 700 flights in August. The airline has requested the court to empower Directorate General of Civil Aviation (DGCA) to enforce the mandatory notice period rules.

The airline is reportedly seeking to take penal action against the pilots and is seeking around Rs 22 crore as compensation for loss of revenue owing to cancellation and groundings of flights.

Watch: Rise of the Indian Middle Class to over 60% in FY47 to pave the way for India's economic growth, BT Magazine’s The Point decodes the numbers

Watch: Zomato’s ‘Tips for Kitchen Staff’ feature, Anand Mahindra welcomes MotoGP racer Bagnaia to India, CP Gurnani on humanoid robots, Ronnie Screwvala on entrepreneurial beginning: India Inc on X (Twitter)

Watch: MotoGP Bharat weekend starts today with only one Indian rider on the grid, KY Ahmed. Know all about him, Moto3 schedule and more

The airline, while acknowledging the shortage of pilots, said in a statement on Wednesday, "We are pleased to note that our disciplined approach has helped us to be well established with a strong financial profile to execute on 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. "

Last week the airline had stated that it is seeking legal recourse against the pilots who left without serving their contractual notice period. “We 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 that stranded thousands of customers causing significant inconvenience to the travelling public,” an Akasa Air spokesperson had said. 

The spokesperson also said, “Fortunately, that is behind us now. Thanks to the hard work of our colleagues. As a young start up, we are proud of what every Akasian has helped us build in the first year of our operations,” further adding that this kind of behaviour is “deeply disrespectful to the hard work of our entire team which shows up to work, everyday with utmost integrity”.

[UPDATE: The copy has been updated to include Akasa Air's statement issued on Wednesday]

Watch: India vs Australia 1st ODI: KL Rahul-led India to face Pat Cummins-led Australia; India vs Australia key Players, Playing XIs, Live streaming details, venue, head-to-head record

Watch: 7 medal sets are up for grabs for gamers at Asian Games 2023. From PUBG Mobile, Dota 2 to ‘FIFA Online 4’, League of Legends, know all about the Esports event and Indian Esports contingent

Also read: Low-cost carrier Akasa Air moves court against 43 pilots who quit without any notice

Watch: From Golden boy Neeraj Chopra, PV Sindhu to R Praggnanandhaa, Bajrang Punia, Mirabai Chanu, Men’s & Women’s cricket teams, check out key players representing India at Asian Games 2023 in China

Published on: Sep 20, 2023, 11:46 AM IST
×
Advertisement