Indian airline SpiceJet has delayed salary payments to many of its pilots since March, according to internal messages reviewed by Reuters, as the cash-strapped carrier seeks an emergency loan under a government-backed credit scheme to stabilise operations.
As of March, SpiceJet's pilot count stood at 375. Multiple crew members, speaking on the condition of anonymity, revealed that salary payments have been pending for months.
The ongoing financial strain was highlighted in a WhatsApp group consisting of more than 180 members, obtained by Reuters, which includes Boeing aircraft pilots and at least one senior airline official.
In one message, SpiceJet's senior vice president of flight operations, Virendra Malhotra, wrote on May 26 that he was aware "that all of you are going through a difficult phase owing to the delay in salary disbursement" and said the balance of February salaries would be released shortly. "These are testing times, no doubt, but they are temporary."
Once India's second-largest domestic carrier with a 15% market share in 2019, SpiceJet has since plummeted to fourth place, holding just 3.4% of the market. SpiceJet maintains that it is making every effort to stabilize, blaming "extraneous factors" like the Middle East crisis for weighing heavily on its cash flows. The airline expects to fully normalise its business activities within the next few months.
Replying to Reuters, SpiceJet confirmed the backlogged payroll. "Employee payments continue to be disbursed in a phased manner, consistent with the process followed over the past several months, and a majority of employees have already been paid for March," the carrier stated, defending its staggered payment structure.
One pilot called the announcement “reassuring” but sought clarity on when March, April and May salaries would be disbursed, reflecting continued unease among the crew.
However, Malhotra denied issuing such communication when contacted by Reuters via WhatsApp, stating, “I categorically deny having issued any such communication.”
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