Jet Airways introduces 15-20% variable pay for top management to save costs

Plan covers 100 execs; fixed pay at 80-85%, rest based on staff performance, firm's profitability

Jet Airways is introducing a 15-20 per cent variable pay component for its top management, as it looks to save on the wage bill. 

The Mumbai-headquartered airline has a higher cost structure than other listed domestic airlines. It is undertaking a cost control exercise. The variable pay scheme will be applicable to around 100 senior executives; it is expected to result in annual savings of Rs 25-30 crore, says an airline source.

While the fixed salary component will be 80-85 per cent, the remainder will be linked to both employee performance and airline profitability. The senior executives will also not