Vijay Mallya: Job cuts if the slump continues

Vijay Mallya: Job cuts if the slump continues

Kingfisher Airlines head Vijay Mallya has said in a statement that the industry could see more job cuts in the future if the slump in the Indian aviation industry continues.

He said: “If the slump in the market continues then the number of flights will have to go down…. and when we ground the planes it will have effects.”

Jet Airways recently announced that they were firing around 1900 employees. But they had to hire back most of them on pressures from the government. Jet Airways chief Naresh Goyal however claimed that he made the decision personally without any external pressure.

Mallya added about the struggling airlines in the Indian market: “Firstly, the cost of fuel has become too high, secondly the sales tax imposed by the states is very high. If we increase the air fares people don’t want to spend too much money in this economy. So the government should rethink about the taxes.”