Vijay Mallya promises salary by next week

Kingfisher Airlines Chairman Vijay Mallya wrote to his staff for the second time in a week, amid fears that salary delays and low morale might lead to an exodus of employees. Mallya assured his employees today that he had organised funds and the company was hopeful of paying salary and getting its bank account de-frozen by early next week.

Mallya, in talks with Etihad Airways and International Aviation Group, stated there seemed to be light at the end of the tunnel and that the direct import of aviation fuel would save fuel costs by 15 per cent. “I hope to have some good news for you shortly,” he said.

“I have organised funding, so that we can pay your seriously overdue salaries, a source of great personal sorrow for me. We are handicapped as our bank accounts are frozen by the tax authorities. I have been working tirelessly to urgently resolve this issue through negotiation and I hope these efforts will be successful early next week. We fully intend to pay our tax dues as much as we commit to paying your salaries.”

In the last 10 days, over 35 Kingfisher pilots have quit and there are fears of more resignations. Delays in salary have led to resignations among ground staff and cabin crew, too. The airline has not paid salaries from December and has not been able to stick to its deadline due to one reason or another. “Please stay committed to our common cause,” he stated.

Mallya also questioned IndiGo’s profits without naming it. He wrote, “So far, there has been a downhill for civil aviation except for one airline (read IndiGo) that defies the odds and claims to be profitable.”