IndiGo announces bonus of 3 per cent of salary to its crew after the airlines recorded a profit in January-March quarter. The company has logged in a second consecutive profitable quarter on Thursday.
The airlines informed the cabin crew that a bonus amount equal to three per cent of their FY23 salary would be paid to them along with the May salary.
The bonus was a tradition at IndiGo was stopped since FY2020 due to the pandemic’s impact on the business.
“During the pandemic, we were incurring losses for 3 years. Hence crew bonus couldn’t be disbursed. Considering that last 2 quarters out of 4 in FY23 were positive for us - both operationally and financially, we are reinstating more than half of maximum 5% Crew Bonus which was being disbursed in pre-Covid years. As an appreciation for all your efforts, the Crew Bonus for FY23 will be 3% of your Salary for FY23,” the airline’s Chief Human Resources Officer Sukhjit Pasricha said in a note as per the ET report.
The bonus payout comes amid a financial profit that came with a record fourth quarter profit of Rs 919 crore. It is also seen as a move to attract and retain workforce as the airline steps up expansion plans.
IndiGo has earlier announced that it will hire 5,000-6,000 employees in FY24 as it continues its expansion plan within India and overseas.
Tata-owned Air India has also hiked salaries by 20% and is offering a faster career progression to its crew as it plans to attract human resources to cater for its 470 aircraft order.
Revenue from operations rose 76.5% on a year-on year basis to Rs 14,160 crore with an increase in capacity and the load factor.