DGCA extends cap on SpiceJet operating capacity till October 29

India's aviation regulator DGCA observed that the extension has been given on a review of the safety performance of SpiceJet.

The Directorate General of Civil Aviation (DGCA), India's aviation regulator, on Wednesday, extended the cap on SpiceJet's operating capacity till October 29. In an order, the DGCA mentioned that the extension has been given on a review of the safety performance of SpiceJet.

It also mentioned that SpiceJet has shown an appreciable reduction in the number of safety incidents, but, as a matter of abundant caution, the restriction imposed shall continue to be effective till the end of Summer schedule on October 29.

The order also stated that any increase in the number of departures beyond 50 percent of the total number of departures approved under the Summer Schedule 2022 are subject to SpiceJet demonstrating to the satisfaction of the DGCA. Only if the aviation regulator is convinced that the airline has sufficient technical support and financial resources to safely and efficiently undertake such enhanced capacity, will it approve more flights.

It was on July 27 that the DGCA ordered the airline to operate only 50 percent of its flights for eight weeks.

On the financial front, SpiceJet had earlier reported a net loss of Rs 789 crore (Rs 420 crore excluding forex adjustment) for the quarter ending June 30, 2022. In comparison, for the quarter ending 30 June, 2021, there was a loss of Rs 729 crore. This year’s loss was mainly due to record high fuel prices and a depreciating rupee.

SpiceJet puts nearly 80 pilots on leave without pay

On Tuesday, with an aim to rationalise cost, SpiceJet has decided to place some pilots on leave without pay for a period of three months. The airline asserted that it will be inducting MAX aircraft shortly and call these pilots back in service as the induction begins. During the LWP period, the pilots will, however, remain eligible for all other employee benefits as applicable, including all opted insurance benefits and employee leave travel.

"This measure, which is in line with SpiceJet's policy of not retrenching any employee which the airline steadfastly followed even during the peak of the Covid pandemic, will help rationalise the pilot strength vis-a-vis the aircraft fleet," said a Spicejet spokesperson.

Despite placing certain pilots on leave without pay, SpiceJet will still have a number of pilots to operate its full schedule as and when the DGCA restriction on flights is lifted.