Low-cost carrier GoAir on Wednesday said its employees will need to take pay cuts in March because the airline is left with no choice within the wake of travel restrictions to stop Covid-19 from spreading.
GoAir CEO Vinay Dube said, "All employees to possess salary cut in March as we are left with no choice thanks to travel restrictions over coronavirus."
Not just GoAir but several airlines round the world have announced unpaid leaves or pay cuts for workers on account of rising losses thanks to the novel coronavirus outbreak.
A few days ago, GoAir had laid off expat pilots and announced a salary cut for senior management. Some employees had even availed leave without pay.
Now, the corporate has made it clear that it might be impossible for it to pay full salaries to employees in March because it stares at deeper losses within the wake of the three-week lockdown in India.
Similarly, IndiGo had announced a salary cut of up to 25 per cent for its senior employees last week.
Air India, too, has stated that it's cutting allowances of all employees -- except cabin crew -- by 10 per cent thanks to the "insurmountable dip" in revenues. things is not any different round the globe and most airline companies are browsing a critical phase.
The situation is probably going to enhance only after travel restrictions round the world are lifted. However, which will depend only on how briskly the virus is contained.