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'Exceedingly challenging times,' says Jet CEO Vinay Dube; announces remittance of December salaries

File photo. Photograph:( Reuters )

WION Web Team New Delhi, Delhi, India Mar 30, 2019, 09.49 PM (IST)

Jet Airways CEO Vinay Dube, in a statement, said that the "last few months" have been "exceedingly challenging times" for the organisation and that pilots and aircraft maintenance engineers will receive their salaries for the month of December 2018 for now.

The CEO went on to admit that the leadership understands the "anxiety and uncertainty endured by the employees" for which the organisation extends its gratitude. 

Dube added that Jet's Board of directors and the management is committed to working "as fast as possible" to restore stability in the organisation.  

"We are working as fast as possible to implement the resolution plan agreed with the consortium of Indian lenders to quickly restore the much-needed stability to our operations and build a sustainable future for the airline," the statement read, adding that such are complex processes and it has "taken longer than expected".

Dube also said that owing to such circumstances, the company is only able to "remit your remaining salary for December 2018," adding that the management is working on getting additional funding on an urgent basis and shall "advise you about the release of the remaining salary arrears as the funds come in".

On Tuesday, Dube said that the stakeholders of the airline were optimistic about its future. 

After weeks of speculations over the future of Jet, which grounded over 80 planes due to financial woes, its board Monday approved a resolution plan formulated by a consortium of lenders led by SBI, who has now become the new owners of the airline with 51 per cent equity holding.

Meanwhile, disappointed over non-clearance of pending dues, Jet Airways pilots on Friday reiterated that they will stop flying from April 1. 

Over 1,000 pilots of the struggling private carrier Jet Airways have decided to go ahead with their "no flying" call from April 1 following the airline failing to receive funds from the banks Friday, its pilots' guild has said.

Days after that, the airline's ownership went into the hands of SBI-led consortium of banks under a debt-recast plan.

"A part of the expected interim funding from SBI was supposed to be sanctioned on March 29. Unfortunately, the fund transfer has not taken place, and there is also no update on salary payment from the management. The collective decision of pilots taken at Mumbai and Delhi open house effective 1 April prevails," NAG president Karan Chopra said in a late evening communication to his members.

Jet Airways pilots along with engineers and senior management have not been paid for about four months now.

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Dube added that the management is working on getting additional funding on an urgent basis and shall 'advise about the release of the remaining salary arrears as the funds come in'.