SpiceJet initiates management rejig with Ajay Singh in cockpit
The top management rejig at SpiceJet under its new promoter Ajay Singh has begun with Kaneswaran Avili, the airline’s chief commercial officer (CCO), stepping down.business Updated: Apr 11, 2015 00:04 IST
The top management rejig at SpiceJet under its new promoter Ajay Singh has begun with Kaneswaran Avili, the airline’s chief commercial officer (CCO), stepping down.
While the company said Avili, who joined SpiceJet on April 1, 2014, had stepped down on his own, top airline sources said he had been asked to put in his papers. As reported by HT in January, key management changes were in the offing after Singh took charge of the airline.
“A number of mid and senior- level ‘overpaid’ executives are on their way out,” a senior airline official said.
“A very senior executive has a ‘exit clause’ in his contract that if he is sacked before completing three years in the company, he would have to be paid his emoluments for that period. Some others executives, too, have such exit clauses that is stopping us from sacking them,” the official added.
“SpiceJet will follow a true blue ‘low-cost’ model and implement an aggressive cost-cutting strategy under Ajay Singh, a master strategist who knows the airline business like the back of his hand,” aviation expert Rajji Rai said.
“The airline’s operations have completely stabilised and most of the pending dues have been paid. A detailed review of all ‘wasteful’ expenditure has begun,” another airline official said.
“Avili will be stepping down effective April 10. He is leaving the company to pursue certain entrepreneurial opportunities,” SpiceJet said.
“Kanesh was not asked to leave. Market stimulation helped cut losses by half in Q1Q2FY14. The SpiceJet Effect works!” tweeted COO Sanjiv Kapoor.