There will be a delay of one-three days in the payment of November salaries for SpiceJet employees. Confirming the development, sources in the airline said that the staff was fully behind the management.
An airline staffer who BusinessLine spoke to did not seem unduly worried about the development pointing out that during November the month ended on Sunday, which is a bank holiday. “When the going is good the company has paid us even on 27th if the last day of the month is on a holiday.
“We know the attempts being made to get a new investor and are not unduly worried as yet about a slight delay in salaries,” the employee who is not allowed to speak to the media said.
Rival airlines also did attach too much significance in SpiceJet’s delay in paying its salaries. “Airlines are faced with liquidity issues at the end of every month as they have to meet statutory commitments like having to pay service tax that has been collected on the sale of air tickets on a particular date at the end of every month,” an official of a rival airline said.
An official of another rival airline added, “With the prices of aviation turbine fuel, which accounts for 40-45 per cent of operating costs for most domestic airlines, declining substantially it will give breathing space to not only SpiceJet but the entire domestic airline industry.”