The move would involve cutting staff salary by 10 per cent, curtailment of flights and reduction in travelling and marketing costs. However, there were no immediate plans to layoff staff, company spokesperson said. Company executives said the salary cut would be limited to pilots and senior management executives. Of a staff strength of 4,000, Jet has over 350 pilots and senior management staff. A company executive said the salary cut was a temporary measure and could be restored if the airlines was able meet up the revenue loss through other means.
Plans are also afoot to cut down flights with low passenger load factor.
Also in the offing is a cut in staff costs relating to travel and marketing. The aviation industry worldwide has been facing a major drop in passenger demand following the September 11 terrorist strike in United States. The Indian aviation industry, too, has been facing the after-effects of the attack through massive drops in passenger load. Air-India on Friday announced downsizing of its international operations by the closure of 20 overseas offices and another 43 within the country as part of effort to save in excess of Rs 21 crore over the next one year. The move, which also involves layoff of 142 employees, would help meet the downturn in air passenger demand, the airline said.