Vistara cuts costs — announces a 'leave without pay plan' for senior employees

Vistara CEO Leslie Thng on Tuesday announced that senior employees will have to go on compulsory leave without pay (LWP) for up to four days per month in May and June as a measure to conserve the airline's cash flow to tide over the difficulties faced by the aviation sector due to lockdowns across the world.

Vistara had sent the same set of senior employees on compulsory LWP for up to six days in April.


The compulsory no-pay leave will affect around 1,200 employees in senior grades. The remaining 2,800 employees of the airline such as members of cabin crew and ground handling services will be unaffected.

"We will continue with the difficult decision to reduce staff costs to preserve jobs," Thng said in an email to employees that has been accessed by .

"For the month of May and June 2020, we will continue with compulsory no pay leave (CNPL) for all staff, except for pilots and staff in Level 1A and 1B, as follows: Staff in Level 4 and 5 to go on 4 days CNPL per month; Staff in Level 2 and 3 to go on 3 days CNPL per month; Staff in Level 1C to go on 1 day CNPL per month," Thng said.

The CEO also stated that for May and June, the monthly base flying allowance for pilots has been reduced to 20 hours per month.

Earlier, the base flying allowance was given to pilots for 70 hours per month.

However, the reduction in base flying allowance won't be applicable to trainee first officers.