Vistara's ultimatum to pilots: Accept new salary structure by EOD

Pilots to lose slot on 'upgrade sequence list' if they fail to sign contract by Friday

Vistara has instructed the pilots who are yet to accept the new salary structure to comply by Friday, warning that failing to acknowledge the offer will result in forfeiting a one-time payout and imply a lack of interest in joining Air India once the merger is operationalised.

Earlier this month, some pilots reportedly went on sick leave to protest the new salary structure offered to them as part of Vistara's merger with Air India. On March 7, Vistara denied media reports, saying the flight cancellations and delays that ensued resulted from unfavorable weather, air traffic congestion, and unforeseen aircraft maintenance, and could not be solely attributed to pilot absenteeism.

Vistara on Friday told the pilots if they did not sign the contract by this evening, they would not receive the one-time payment, sources said. If they do not accept the offer, it will be considered that they "do not wish" to join Air India once the merger is approved and operationalised. As a result, they will not be included in the "transition to Air India", sources added. 

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These pilots will also lose their slot on the "upgrade sequence list" if they fail to sign the contract by evening, sources said.

An "upgrade sequence list" for a pilot typically refers to a roster that outlines the order in which pilots are scheduled to be upgraded to a higher rank or position within the airline. This could include transitioning from a first officer to a captain or moving to a higher-ranking aircraft type.

As part of the new salary structure, Vistara pilots will receive a fixed salary for 40 hours of flying time instead of the current 70 hours. They will also be compensated for extra flying hours and will earn an additional amount as a reward based on their years of service with the airline.

The Competition and Consumer Commission of Singapore (CCCS) gave its approval to the merger earlier this month. The Competition Commission of India (CCI) approved the merger between the airlines in September 2023.

Vistara is anticipating an operational merger with Air India by mid-2025, in addition to its expectations of receiving legal approvals for it by the middle of the current calendar year, the full-service carrier's CEO Vinod Kannan said at a press briefing in January. Vistara is a 51:49 joint venture of Tata Group and Singapore Airlines, while Air India is completely owned by Tata Group.