After announcing layoffs on 20th July, Indigo has announced a pay cut which will impact 35 percent for its senior employees. The idea is to reduce its cash flow amid the COVID-19 crisis.
According to a media report, IndiGo CEO Ronojoy Dutta told employees, "I will increase my personal pay cut percentage to 35 percent. I am asking all senior vice presidents and above to take a 30 percent pay cut, all pilots will see their pay cut percentages increased to 28 percent, all vice presidents will take a 25 percent pay cut and associate vice presidents will take a 15 percent pay cut."
It can be recalled that ten days back the company laid off 10% of its employees and announced care package. The care package consists of financial support, severance payment, annual bonus, longevity bonus, and medical insurance.