Thursday, 11 October 2012

Kingfisher Airlines' CEO wants staff to start work on Oct 13, silent on issue of pending pay


NEW DELHI: Close on the heels of the aviation regulator asking Kingfisher AirlinesBSE -4.80 %to stop selling tickets until its revival plan is approved, CEO Sanjay Agarwal has written a desperate letter to employees.

"Given the pain that all of you and your families have gone through over the last year due to delay in payment of salaries, we can only tell you in utmost sincerity that this situation pains us immensely too," the letter begins.

However, the letter does not include any details on if, and when employees will be paid salaries - which have been delayed since March 2012. It also does not offer any statement from the airline's promoter and chairman Vijay Mallya.

In the letter, Agarwal has beseeched employees to rejoin work so that Kingfisher Airlines can resume operations from October 13. The letter was sent on a day when ET that the airline had opened ticket bookings (in violation of regulations) on its website from October 13, even though it is yet to respond to sector regulator DGCA's show-cause notice asking why its license should not be cancelled.

"Without all of you, without exception, coming back to work, we will have no way forward. We have currently announced suspension of operations until October 12th and sincerely hope that we will able to present a viable plan to DGCA to allow us to resume operations on October 13th," Agarwal says.

Sent to employees on Tuesday night, the letter ends, "We have come this far, and we have to still go further. I earnestly urge you to not to lose hope at this crucial juncture."

Agarwal's communication highlights Mallya's absence, and its tone is markedly different from the sterner language of an earlier communication the KFABSE -4.80 % chairman had sent to striking employees.

On August 9, in an open letter to employees, Mallya said, "If a section of our colleagues feel that their actions (not flying) are justified and that they know best, they can elect to leave our company.

But such threats and disruptive actions are not acceptable..." "If some colleagues feel that I will be pressurised by flight cancellations, they are wrong. Instead, I will stop my own support as a few are effectively holding the entire company to ransom," Mallya had added.

A day after one of Kingfisher Airlines employees' wife committed suicide citing financial stress as her husband was not paid for months; the DGCA sent a show-cause notice to the airline asking it to explain why its license should not be cancelled.

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