SpiceJet Announces Workforce Reduction: 1,400 Employees Affected

Airline Implements Cost-Cutting Measures to Save $12 Million Annually

SpiceJet, a prominent low-cost carrier, revealed its plans on Monday to streamline operations by downsizing its workforce, with the aim of achieving annual savings of $12 million.

Workforce Reduction Plan

Reports suggest that SpiceJet intends to lay off approximately 1,400 employees, constituting about 15% of its total workforce of 9,000 employees. However, the airline has not officially confirmed the exact number of job cuts.

Turnaround Strategy

The decision to reduce the workforce aligns with SpiceJet’s broader turnaround and cost-cutting strategy, which aims to revive the airline’s operations following recent financial challenges. These measures come after the infusion of funds to support the revival of grounded aircraft.

Fundraising Efforts

SpiceJet has undertaken fundraising initiatives to bolster its financial position. With a target of raising 22.50 billion rupees, the airline has already secured 7.44 billion rupees through the sale of shares and warrants.