We are in a strong position – SpiceJet clarifies layoffs, see photos

Recently there was news of layoffs in SpiceJet amid cash crunch. A report said that the salaries of the company's employees were being delayed for several months. On the other hand, SpiceJet has given a statement and made a clarification. In which Airlai has said that if we look at the recent history, we are currently in our strongest financial position.

10 Month ago

According to a PTI report, SpiceJet is facing a financial crisis, legal battles and other hurdles and is likely to take a major decision on layoffs later this week. This was followed by another report saying that the employees of the cash-strapped SpiceJet airline will not receive their salaries. There may be delays. It was also said that due to lack of funds it is not able to deposit pension fund and taxes along with salary.

Clarifying this kind of news related to SpiceJet, SpiceJet has said that we are in a strong position. According to the airline, they have Rs. 744 Crore has successfully completed the first phase of capital investment and has also received additional subscription pending regulatory approval.

A report on Tuesday said that SpiceJet is facing major layoffs due to cash crunch. The company has planned to cut about 15 percent of its total workforce. The company has taken this decision citing cost cutting. Currently, around 9,000 employees are working in the airline and it is being cut by 15 percent. This figure is around 1400 employees.

Apart from this, the company has also started the process of raising an additional Rs 1500 crore. It further said that these funds will be used for statutory dues, vendor payments and other dues as per the resolution of the shareholders.

The budget airline has reportedly confirmed the layoffs and said the move was taken in line with operational requirements. News of layoffs and pay crisis is also weighing on the company's shares. On Wednesday, SpiceJet shares fell 3.44 percent to Rs. closed at the level of 63.37. Shares of the airline company with a market capitalization of Rs 4340 crore are Rs. opened at 64.88. During the news it was Rs. 65.45 was the highest level of the day.