Jet Airways under serious trouble
The 3 day ongoing conflict between Jet Airways with its pilots posing serious trouble for the carrier and the plan to raise $400 million to buy new aircrafts seems to be in jeopardy.
Kapil Kaul, chief executive officer of the Indian unit of Centre for Asia Pacific Aviation said, “The last thing investors want to see when the airline’s trying to raise funds is a crisis like this. This is a wildfire and they need to put out as soon as possible.”
Fall in the stock market price of nation’s second largest airlines from as much as 4.5 percent to 251 rupees, losing customers at a rapid speed, labor disputes all are adding up to Chairman Naresh Goyal’s trouble regarding the fund raising plan.
Domestic bookings for Jet came down to 14,000 a day, almost by 39% percent and international bookings saw a downfall of about 9.5 percent accounting to 9,500 a day.
Total cancellations of Jet flights seems to be at an alarming rate with 484 flights this week, including 90 flights cancelled today. The protest by the pilots seems to be continuing causing serious inconvenience to the passengers.
More than 400 pilots went on sick leave demanding the employer takes back 4 of their colleagues who were fired earlier. On Sept. 8, the airline asked a court to force the pilots to return to work.
“Jet Airways is endeavoring to make alternate arrangements on other airlines wherever possible and our airport teams will assist its guests to the fullest extent,” Jet Air said.
Category: Business
