Crisis hits Akasa Air after 43 pilots resign, 700 flights cancelled

The newly launched Akasa Air is in a state of crisis and might have to shut down, following the resignations of 43 pilots, the airline told Delhi High Court on Tuesday. The sudden resignation of the pilots has forced the carrier to cancel 24 flights per day in September. Akasa Air, later in a statement, added that they are prepared for "unforeseen circumstances and have contingency management strategies". They also said that they have a strong financial profile. Akasa Air, just 13 months old, has been grappling with an unprecedented state of emergency, forcing them to ground their aircraft and disrupt the travel plans of countless passengers. In response, the airline has firmly taken a legal stance, seeking necessary measures against the pilots who made the abrupt exit and claiming approximately Rs 22 crore in compensation to offset the substantial revenue losses incurred due to the flurry of flight cancellations.

The mass depature of pilots represents a significant setback for Akasa, given the inherent difficulty in finding Boeing 737 pilots in India compared to their Airbus A320 counterparts. The airline’s struggle to secure an adequate workforce looms ominously over its financial stability, threatening the realization of its ambitious expansion plans. Additionally, Akasa must earnestly address the grievances of its remaining pilots, particularly regarding changes in compensation, to restore harmony within its ranks.Akasa pilots have voiced concerns that the airline breached contractual agreements by altering their salary structure. This unforeseen departure of talent is sending ripples of concern through Akasa Air, which had recently celebrated the induction of its 20th aircraft and its newfound eligibility to operate international routes. Akasa Air is gearing up to initiate international flights by December, with the Middle East as its initial focus. The green light for international flights has been granted, but the airline is now awaiting the allocation of traffic rights and subsequent approvals from the respective countries where it plans to operate. These rights are allocated based on bilateral reciprocal agreements between governments and airlines, ensuring a fair and balanced distribution of air traffic. Traditionally, traffic rights on major India-Middle East routes, such as those to Dubai and Doha, have been fully utilised, leading to limited slots for new entrants.