IndiGo announces pay-cuts again, CEO’s salary reduces by 35%

The Indian airline company, IndiGo, has announced another round of pay-cuts of its employees. Employees across all levels are getting pay-cuts in their salaries with the CEO’s salary being reduced by 35%.


  • The Indian airline company, IndiGo, has just announced another round of pay-cuts for its employees. The Chief Executive Officer of the company, Ronojoy Dutta, announced on Monday that the company will be going through another round of pay-cuts which includes a 35% reduction in his own salary.

As per, the CEO sent an email to his employees advocating on the importance of the pay-cuts. In the email, he said that the pay-cuts are imperative to “adjust the airline’s cost structure to the decline in revenues”.

The structure of the pay-cuts have been designed with the CEO getting a 35% trim in his salary. The Senior Vice-Presidents of the company will be getting a salary with a reduction of 30%. The salary of the Vice-Presidents are getting reduced by 25% and those of the Associate Vice-Presidents by 15%. At the same time, the salaries of the Pilots would be undergoing a 28% cut.

This is the second round of pay-cuts after the first one in May which included a 20-25% reduction in the salaries of the senior management and the pilots, as reported by Livemint. In addition to this, a “leave-without-pay” programme was also put in place to alter the company costs due to the Coronavirus pandemic.

Dutta, in one of his statements, emphasized on the importance of sacrifices to keep the business running amidst the COVID-19 pandemic, which has brought especially the aviation industry to a halt. “And from where things stand currently, it is impossible for our company to fly through this economic storm without making some sacrifices, in order to sustain our business operations”, quoted Dutta.

This announcement by the CEO comes a week after he announced a lay-off of 10% employees of the company.

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