IndiGo, the largest domestic airline in India, will be increasing the salaries of its pilots and cabin crew following an impressive performance in the first quarter of 2023-24 (Q1FY24), where they achieved a record net profit of Rs 3,090 crore, according to a report by MoneyControl.
This pay hike will affect around 4,500 flight crew members, and the new salaries will be effective from October 1. Ashim Mitra, the senior vice-president of flight operations at IndiGo, shared in an email to the staff on August 2 that the company is working with their HR team to enhance the salaries of the flight crew, reflecting the airline’s financial recovery.
The salary hikes are expected to range from high single-digit to mid-teens increases on the base salaries, as revealed by senior executives from IndiGo to MoneyControl. This raise comes just a few months after the airline granted bonuses of three per cent of the salary to its crew for their performance during the January-March quarter.
Apart from salary increases, IndiGo is also introducing a policy to enable ATR-72 aircraft pilots to transition to the Airbus fleet. Currently, the airline operates 39 ATR-72 planes, making it the largest operator of this aircraft type in India.
This pay increase comes at a time when rival airlines have already announced substantial salary hikes in the past few months. Akasa Air increased the salary of its pilots by up to 40 per cent, following Air India’s 20 per cent salary hike for its pilots in June.
Demand for pilots is high in the market, particularly for senior commanders and trainers, as airlines are expanding their fleets and networks both internationally and domestically.
Interglobe Aviation, the parent company of IndiGo, reported a profit of Rs 3,090 crore in Q1FY24, with a nearly 30 per cent increase in revenue from operations compared to the previous year.
IndiGo’s expansion plan includes hiring 5,000-6,000 employees in 2023-24. However, reportedly the airline is currently facing a shortage of pilots for its ATR fleet, with captains leaving to join other carriers after completing their three-year service bonds.
As of June, IndiGo operated 316 aircraft, including a mix of Airbus and ATR-72 aircraft, and two Boeing 777 aircraft on wet-lease from Turkish Airlines.