Sunday 7 October 2012

Kingfisher gears up to resolve crisis


The management of Kingfisher Airlines has expedited the process of convincing its employees to resume work by considering partial payment of their salaries.
The management is now willing to pay as the unrest is spilling over to the streets and licence cancellation is looming large.
The move by the bankers to release money from an escrow account and the tax authorities’ decision to unfreeze the Kingfisher's accounts have helped the airline mobilise money to clear employees’ dues.
The UB group, which has been infusing money everyday into the airline to keep it flying, has also conserved some cash that could go into clearing large part of the employees’ dues.
“Earlier, the management was adamant. Now they are asking. We demand our seven-month salary, but we can still consider joining work if the minimum four months’ salary gets credited on Monday,” said a striking employee.
The monthly wage bill for 4,000 employees is around Rs.30 crore.
No protests
On Saturday, there was no protest as both parties were inching towards a settlement.
Employees are anxious as the airline’s Chairman Vijay Mallya is expected to arrive in India to take stock of the situation.
http://www.thehindu.com/todays-paper/tp-business/kingfisher-gears-up-to-resolve-crisis/article3973547.ece

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