Jet Airways axes 120 foreign airhostesses to cut costs

14 May 2009

Faced with huge losses, rising debts and an annual salary bill of over Rs1,200 crore, India's second largest air carrier by market share, Jet Airways has axed its 120 foreign airhostesses from its 3,000 cabin crew in a bid to save on costs.

This new round of axing cabin crew, comes close on the heels of Jet Airways terminating contracts of about 60 cabin crew, who were on probation, and another 50 employees who have superannuated, early this month as the airline moved to cut cost and stay trim. (See: Jet Airways lays off around 110 employees)

The axing of the 120 foreign airhostesses from Singapore, Malaysia and Thailand were in line with Jet Airways announcement last week of closing its Far East crew bases and had asked its pilots and other staff to relocate to the Mumbai or Delhi offices.

The airline was confident that the Indian airhostesses would be able to handle the foreign routes as they have experience of flying in this sector for five years.

Last October, Jet Airways had announced the retrenchment of about 1,900 employees after a strategic alliance with Kingfisher. It, however, took back the employees following widespread protests.

Last month, the Naresh Goyal-led Jet Airways, because of falling traffic and rising operational costs, had in a cost-restructuring exercise, cut the salaries of over 370 management-level employees earning a gross salary of Rs75,000 per month and above. (See: Jet Air management to take salary cuts)