Kingfisher Airlines' pilots air their grievances for not getting paid for two months
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Kingfisher Airlines' pilots air their grievances for not getting paid for two months
MUMBAI: Some Kingfisher pilots who have not been paid for two months took the unusual step of airing their grievances over the aircraft announcement system on flights out of Delhi on Wednesday.
The announcement said "it is their sense of duty towards the guest that is making them fly despite not being paid salaries for the past two months", and was made after the aircraft was taxiing after landing.
Cash-strapped Kingfisher, promoted by liquor baron Vijay Mallya, has not paid some of its engineers and pilots for over two months. The announcements are part of a wider protest by pilots after a deadline set by them passed without any payments being made. Some pilots say they now plan to wear black armbands while reporting for work.
The move could worsen the situation for the troubled airliner as 140 of its 700 pilots have resigned and are serving their notice period. About 11 pilots have already left to join rival IndiGo despite threats of legal action by Kingfisher.
These announcements by the pilots do not breach any established protocols as they were made after the aircraft was parked, said pilots and aviation sector experts, though the airline can initiate disciplinary action. Kingfisher did not reply to an email, but its spokesperson said they "categorically" deny that any such announcement had been made by its pilots.
"Repeated attempts to engage in a dialogue with the management have not yielded any results so far, and this step was taken after the top management in a verbal communication to pilots promised salaries by December 2 without any outcome," said a Kingfisher pilot who did not wish to be identified.
Another pilot said the management released October salaries of about 500 pilots last Friday, but around 170 pilots, engineers and various other employees are yet to be paid. "Today (December 7) is payday for November salaries, but we haven't received them so far."
A senior official of the civil aviation ministry who was on board one of these flights went into the cockpit to congratulate the pilots for continuing to fly even without resorting to industrial action in such circumstances, said a pilot.
The pilots wrote to Mallya on December 1 and conveyed their concerns about an uncertain future. They requested his intervention as Sanjay Aggarwal, the current CEO, has not been able to give any convincing answers to the employees on either salaries credit or the way forward for the airline, according to the Kingfisher employees.
"Senior management has resorted to evasive answers with arbitrary dates for salary disbursement... Having exhausted all options of getting a clear answer to a simple query, 'when will we be paid our salaries', we are left with no choice but to write to you (Vijay Mallya) personally to seek an assurance regarding the same," the mail said.
The employees met Aggarwal on November 30, but this did not end the impasse. On December 4, the pilots again wrote to Aggarwal pointing out that issues raised by the employees were yet to be resolved. "Communication with your workforce has never been your strong point. One such rare occasion was the meeting held on Nov 30, 2011, at Mumbai wherein you mentioned that our salaries would be credited by Friday, Dec 2, 2011
However, all pilots have not received their salaries for the month of October till now... Failure to credit salaries by Monday working hours would imply that management is not serious to honour its promise and force us to conclude that promises may also not be kept in the future," the pilots wrote to Aggarwal.
Kingfisher cut its flights from 340 to 200 per day in November, a schedule that it will stick to till March. It has about 700 pilots and its monthly wage bill is Rs 50 crore for its 7,000 employees.
Kingfisher pilots, however, have decided against industrial action as they neither have an association or a union, such as the one representing Air India pilots. Strikes by pilots of the state-owned carrier have brought it to a halt in the past.
"We are not thinking on those lines of agitation but the fact is that we are not being heard," said one of the pilots.
"We want to know is the situation that bad for the company that it is not able to pay salaries in full?" asked another one. Kingfisher is currently negotiating with its lenders for a Rs 400 crore working capital loan so that it can pay for salaries and fuel.
Kingfisher incurred a loss of over Rs 400 crore for the second quarter of this financial year and has accumulated losses of over Rs 4,000 crore with a debt of Rs 7,000 crore, some of which was converted into equity after a one-time debt recast last year. There is a viability study being done by SBI Caps that is currently underway.
Kingfisher Airlines' pilots air their grievances for not getting paid for two months - The Economic Times
The announcement said "it is their sense of duty towards the guest that is making them fly despite not being paid salaries for the past two months", and was made after the aircraft was taxiing after landing.
Cash-strapped Kingfisher, promoted by liquor baron Vijay Mallya, has not paid some of its engineers and pilots for over two months. The announcements are part of a wider protest by pilots after a deadline set by them passed without any payments being made. Some pilots say they now plan to wear black armbands while reporting for work.
The move could worsen the situation for the troubled airliner as 140 of its 700 pilots have resigned and are serving their notice period. About 11 pilots have already left to join rival IndiGo despite threats of legal action by Kingfisher.
These announcements by the pilots do not breach any established protocols as they were made after the aircraft was parked, said pilots and aviation sector experts, though the airline can initiate disciplinary action. Kingfisher did not reply to an email, but its spokesperson said they "categorically" deny that any such announcement had been made by its pilots.
"Repeated attempts to engage in a dialogue with the management have not yielded any results so far, and this step was taken after the top management in a verbal communication to pilots promised salaries by December 2 without any outcome," said a Kingfisher pilot who did not wish to be identified.
Another pilot said the management released October salaries of about 500 pilots last Friday, but around 170 pilots, engineers and various other employees are yet to be paid. "Today (December 7) is payday for November salaries, but we haven't received them so far."
A senior official of the civil aviation ministry who was on board one of these flights went into the cockpit to congratulate the pilots for continuing to fly even without resorting to industrial action in such circumstances, said a pilot.
The pilots wrote to Mallya on December 1 and conveyed their concerns about an uncertain future. They requested his intervention as Sanjay Aggarwal, the current CEO, has not been able to give any convincing answers to the employees on either salaries credit or the way forward for the airline, according to the Kingfisher employees.
"Senior management has resorted to evasive answers with arbitrary dates for salary disbursement... Having exhausted all options of getting a clear answer to a simple query, 'when will we be paid our salaries', we are left with no choice but to write to you (Vijay Mallya) personally to seek an assurance regarding the same," the mail said.
The employees met Aggarwal on November 30, but this did not end the impasse. On December 4, the pilots again wrote to Aggarwal pointing out that issues raised by the employees were yet to be resolved. "Communication with your workforce has never been your strong point. One such rare occasion was the meeting held on Nov 30, 2011, at Mumbai wherein you mentioned that our salaries would be credited by Friday, Dec 2, 2011
However, all pilots have not received their salaries for the month of October till now... Failure to credit salaries by Monday working hours would imply that management is not serious to honour its promise and force us to conclude that promises may also not be kept in the future," the pilots wrote to Aggarwal.
Kingfisher cut its flights from 340 to 200 per day in November, a schedule that it will stick to till March. It has about 700 pilots and its monthly wage bill is Rs 50 crore for its 7,000 employees.
Kingfisher pilots, however, have decided against industrial action as they neither have an association or a union, such as the one representing Air India pilots. Strikes by pilots of the state-owned carrier have brought it to a halt in the past.
"We are not thinking on those lines of agitation but the fact is that we are not being heard," said one of the pilots.
"We want to know is the situation that bad for the company that it is not able to pay salaries in full?" asked another one. Kingfisher is currently negotiating with its lenders for a Rs 400 crore working capital loan so that it can pay for salaries and fuel.
Kingfisher incurred a loss of over Rs 400 crore for the second quarter of this financial year and has accumulated losses of over Rs 4,000 crore with a debt of Rs 7,000 crore, some of which was converted into equity after a one-time debt recast last year. There is a viability study being done by SBI Caps that is currently underway.
Kingfisher Airlines' pilots air their grievances for not getting paid for two months - The Economic Times
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Oh, thats good news indeed, Stubby!
And soon he will - likely - pay the tax department all the crores of tax that he has taken from his pilots the last three years and kept for himself, so he - likely - will not have to go to jail.
See DEC,12 issue of INDIA TODAY p. 48/49 and check out p 71 where he is promoting his daughter at the Bal de Debutantes in Paris and airing his Croix des Legionnaires, I suppose. I wish he had a splendid evening while his pilots were discussing with the local tax-ladies.
And I wish you would come out of your cocoon and face realities. The poor suckers have been taken for a ride in an airline that is getting deeper into the stall by the day, and nobody is ready to push the stick forward
T
And soon he will - likely - pay the tax department all the crores of tax that he has taken from his pilots the last three years and kept for himself, so he - likely - will not have to go to jail.
See DEC,12 issue of INDIA TODAY p. 48/49 and check out p 71 where he is promoting his daughter at the Bal de Debutantes in Paris and airing his Croix des Legionnaires, I suppose. I wish he had a splendid evening while his pilots were discussing with the local tax-ladies.
And I wish you would come out of your cocoon and face realities. The poor suckers have been taken for a ride in an airline that is getting deeper into the stall by the day, and nobody is ready to push the stick forward
T
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Heard some of his planes were seized by the tax man?
Bunch of planes spread out India with parts missing too.
And... did he give up his 727 for a new A-318?
Well, I guess that's where the pay checks have gone
.
?Bunch of planes spread out India with parts missing too.
And... did he give up his 727 for a new A-318
? Well, I guess that's where the pay checks have gone
.
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Heard that Kingfisher released 50 of their pilots today who were on 6 months notice period. I guess there is no longer a shortage of pilots in IndiGo.
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@Desi Pilot
Do you know how many of the 50 Pilots were first officers and how many captains ?
And In other news
The ailing Kingfisher Airlines is in a tearing hurry to shrink its crew size, according to aviation industry sources. On December 13, the airline asked at least 60 pilots to leave within 48 hours. They were not even permitted to serve out their notice periods, sources said.
“One pilot was in London when the airline called up and asked him to leave within a day. It has been a very abrupt move,” a source said seeking anonymity.
When contacted, the airline itself neither confirmed nor denied the alleged sacking of pilots.
A pilot who quit the airline last week, however, pointed out that Kingfisher has made it clear it will downsize further. “Apart from the 60 who were sacked abruptly, another 100 pilots are already serving their notice periods and will leave gradually. The airline wants to almost halve its fleet size to 350 to 400 from about 700.”
Another pilot said many of Kingfisher pilots are still awaiting their November salaries. “After we decided to announce the salary delay over the PA (public address) systems during all flights across India on the 4th and 5th of December, the management got jittery and released our October salaries. But the payments for November have not been made. We are told they will be released on the 20th, but it seems unlikely.”
Some pilots alleged that the airline had been refusing permission for them to form a union. Unconfirmed speculation is that several Kingfisher pilots are keen to join two rival carriers IndiGo and Go Air which are expanding and in need to pilots.
Airport lounge whispers even hint that Kingfisher CEO Sanjay Aggarwal might be on his way out, on the heels of the human resources head.
But, a Kingfisher spokesperson scotched such talk.
Kingfisher’s executive vice-president (engineering and operations), Hitesh Patel, has been looking after all salary-related issues.
Industry sources expect the troubled airline to seek short-term working capital funding of about Rs500 crore from a lending consortium comprising 13 banks. The consortium had picked up about 24% equity in the company and its total exposure so far stands at nearly Rs7,000 crore.
Kingfisher ejects 60 pilots in frantic bid to halve crew - Money - DNA
Do you know how many of the 50 Pilots were first officers and how many captains ?
And In other news
The ailing Kingfisher Airlines is in a tearing hurry to shrink its crew size, according to aviation industry sources. On December 13, the airline asked at least 60 pilots to leave within 48 hours. They were not even permitted to serve out their notice periods, sources said.
“One pilot was in London when the airline called up and asked him to leave within a day. It has been a very abrupt move,” a source said seeking anonymity.
When contacted, the airline itself neither confirmed nor denied the alleged sacking of pilots.
A pilot who quit the airline last week, however, pointed out that Kingfisher has made it clear it will downsize further. “Apart from the 60 who were sacked abruptly, another 100 pilots are already serving their notice periods and will leave gradually. The airline wants to almost halve its fleet size to 350 to 400 from about 700.”
Another pilot said many of Kingfisher pilots are still awaiting their November salaries. “After we decided to announce the salary delay over the PA (public address) systems during all flights across India on the 4th and 5th of December, the management got jittery and released our October salaries. But the payments for November have not been made. We are told they will be released on the 20th, but it seems unlikely.”
Some pilots alleged that the airline had been refusing permission for them to form a union. Unconfirmed speculation is that several Kingfisher pilots are keen to join two rival carriers IndiGo and Go Air which are expanding and in need to pilots.
Airport lounge whispers even hint that Kingfisher CEO Sanjay Aggarwal might be on his way out, on the heels of the human resources head.
But, a Kingfisher spokesperson scotched such talk.
Kingfisher’s executive vice-president (engineering and operations), Hitesh Patel, has been looking after all salary-related issues.
Industry sources expect the troubled airline to seek short-term working capital funding of about Rs500 crore from a lending consortium comprising 13 banks. The consortium had picked up about 24% equity in the company and its total exposure so far stands at nearly Rs7,000 crore.
Kingfisher ejects 60 pilots in frantic bid to halve crew - Money - DNA
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Well, this is not a kindergarten game, this is contractual stuff among professionals. When you resign - give notice - it does not mean "I may go in 6 month if I am not happy then", it means "I want out asap with my contractual (typically 1 month) pay".
The 6 month "cooling period" is just a strange DGCA rule, which - if contested in court - is very unlikely to hold water in the actual case of contract default by the airline ( breach of payment).
What Kingfisher has done is NOT "sacking" 60 pilots but waiving the DGCA rule and the 1 month notice period. This puts the company on firm legal ground - PROVIDED THEY PAY THE NOTICE PERIOD SALARY - which they have not done so far to any ex-KFA pilots as far as I know.
Of the 300+ expat pilots being fired the last three years I have heard of nobody receiving their full final salary, so the last 60 pilots are unlikely to get their final salary, either. I understand a class act lawsuit is finally in preparation.
The pilot tax scam in KFA is the real scandal as it was under way even when VJM bragged about his "deep pockets". It has now come to light that that is exactly where the money deducted from the pilots went: into his deep pockets. Can he claim ignorance? Of course not; no functional manager in this airline will sneeze unless sanctioned by VJM.
All airlines worldwide (except a handful) have had difficult years, but no airline management has demonstrated such criminal lack of morale as we see in Kingfisher. Sanjay Aggarwal may have just realized the hornet´s nest he inherited and the consequences for him if he stays.
In his shoes I would also be running scared as fast as I possible can before the backward juridical system in India promotes me to "senior scapegoat" to let VJM go home free.
Head of HR going? Great news (if true). There you have a real culprit...Don´t let her off the hook.
T
The 6 month "cooling period" is just a strange DGCA rule, which - if contested in court - is very unlikely to hold water in the actual case of contract default by the airline ( breach of payment).
What Kingfisher has done is NOT "sacking" 60 pilots but waiving the DGCA rule and the 1 month notice period. This puts the company on firm legal ground - PROVIDED THEY PAY THE NOTICE PERIOD SALARY - which they have not done so far to any ex-KFA pilots as far as I know.
Of the 300+ expat pilots being fired the last three years I have heard of nobody receiving their full final salary, so the last 60 pilots are unlikely to get their final salary, either. I understand a class act lawsuit is finally in preparation.
The pilot tax scam in KFA is the real scandal as it was under way even when VJM bragged about his "deep pockets". It has now come to light that that is exactly where the money deducted from the pilots went: into his deep pockets. Can he claim ignorance? Of course not; no functional manager in this airline will sneeze unless sanctioned by VJM.
All airlines worldwide (except a handful) have had difficult years, but no airline management has demonstrated such criminal lack of morale as we see in Kingfisher. Sanjay Aggarwal may have just realized the hornet´s nest he inherited and the consequences for him if he stays.
In his shoes I would also be running scared as fast as I possible can before the backward juridical system in India promotes me to "senior scapegoat" to let VJM go home free.
Head of HR going? Great news (if true). There you have a real culprit...Don´t let her off the hook.
T
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WHAT???? 
Say it isn't so!! An Airline in trouble and no union around to blame it on??
Where is Wannabe Flyer when we need him?
I also notice that the silence from the anit-union gallery is deafening!
Alt 3
Say it isn't so!! An Airline in trouble and no union around to blame it on??Where is Wannabe Flyer when we need him?
I also notice that the silence from the anit-union gallery is deafening!
Alt 3
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No alouette3, Only that no union in the world can save an airline like Kingfisher or Air India, or any other company that has a suicide business model.Alitalia had about a dozen unions.Read here http://gurgleitaly.wordpress.com/200...litaliaairone/
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Apache,
The issue is not about the unions trying to'save' the airline.Just an observation that if the airline had a union the anit-union lobby would be quick to blame the unions and demand concessions from the various union groups. Here,in the case of KFA, it is glaringly obvious (to all except the extreme right wing nuts) why airlines fail.Poor management,pure and simple. Fleet size, choice of aircraft,debt leverage, ticketing policies,etc are all management decisions that have led to the demise of many airlines across the globe.But,you and your ilk, will always let management off the hook as long as there is a union to blame.Not so this time.
So, I will ask again, where is the anti-union lobby now?
Alt3.
The issue is not about the unions trying to'save' the airline.Just an observation that if the airline had a union the anit-union lobby would be quick to blame the unions and demand concessions from the various union groups. Here,in the case of KFA, it is glaringly obvious (to all except the extreme right wing nuts) why airlines fail.Poor management,pure and simple. Fleet size, choice of aircraft,debt leverage, ticketing policies,etc are all management decisions that have led to the demise of many airlines across the globe.But,you and your ilk, will always let management off the hook as long as there is a union to blame.Not so this time.
So, I will ask again, where is the anti-union lobby now?
Alt3.
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This hullabaloo will do good to impress the naive and the rookie, and of course provide great impetus to anyone aspiring to be a union leader.Since only management failure and NOT the connivance of the unions was glaring to you from the above article, let me draw your attention to another one.Maruti strike: Did the hero, Sonu Gujjar, sell them out? - Times Of India
A union that represents workers that lack integrity only hastens a company's downfall.Overlogging, manipulating the roster against basic principles of resource allocation, reaching work 15 minutes before departure and resisting change to any of the above is indicative of the kind of work force that a management has to deal with.
Forever raking up populist issues only reeks of political ambitions.
A union that represents workers that lack integrity only hastens a company's downfall.Overlogging, manipulating the roster against basic principles of resource allocation, reaching work 15 minutes before departure and resisting change to any of the above is indicative of the kind of work force that a management has to deal with.
Forever raking up populist issues only reeks of political ambitions.
