Air Deccan CEO Arun Kumar Singh in an email sent out to employees have said that Air Deccan has no choice but to cease its operation until further notice.

“With a heavy heart, I am also compelled to inform that all existing employees of Air Deccan (permanent, temporary and contractual) are being put on sabbatical without pay with immediate effect,” he stated in the mail on Monday 6th April.

The development is the effect of the pandemic that has taken the global toll on lives but also on the economic activities. India imposed a 21-day lockdown from March 25 to curb the coronavirus pandemic. All domestic and international commercial passenger flights have been suspended and it is not sure how long or how frequent such disruption will happen, effecting aviation industry directly.

Though only cargo flights, offshore helicopter operations, medical evacuation flights and special flights permitted by Indian aviation regulator DGCA are operating during this lockdown. 

Other aviation companies such as IndiGo announced a pay cut of up to 25 percent for its senior employees while Vistara announced a compulsory leave without pay of up to three days for its senior employees in March. SpiceJet has also initiated pay cuts stating that its employees’ salaries would be reduced between 10 to 30 percent.

Air India too has announced a 10 percent cut in allowances for every employee, except cabin crew, for the next three months. GoAir also initiated salary cuts, introduced leave without pay for employees on a rotational basis and laid off its expat pilots.

Air Deccan becomes the first casualty of the crisis.