SpiceJet, the popular Indian budget airline, has once again delayed salary payments for many of its employees. The carrier explained that it follows a “phased disbursement schedule” during tough financial times, stretching payments over a few days to manage cash flow.
Sources close to the situation say junior staff earning up to Rs 55,000 get their salaries on time. But senior employees are waiting longer for their August paychecks. An airline spokesperson confirmed this approach, noting it’s common in some industries during lean periods. “Our team knows this schedule well—it’s been our standard practice, and nothing has changed,” the spokesperson said.
As of September 7, over 60% of employees had already received their August salaries. The rest are getting paid according to the plan. SpiceJet’s annual report for FY25 shows it employs 6,484 people, with 4,894 on permanent roles. Interestingly, the airline also gave an interest-free advance of Rs 32 crore to Chairman and Managing Director Ajay Singh for five years, following board guidelines.
These delays come amid fresh financial troubles for SpiceJet. In the April-June quarter of FY26 (Q1), the airline posted a net loss of Rs 234 crore, a big shift from the Rs 158 crore profit it made in the same period last year. Operational revenues plunged 34.4% to Rs 1,120 crore from Rs 1,708 crore.
SpiceJet blames the losses on high costs from grounded aircraft and the expenses to get them flying again. Geopolitical tensions with a neighboring country and airspace restrictions in major markets have also hurt leisure travel demand, the airline added in its stock exchange filing.
This isn’t the first time SpiceJet has faced such issues— the budget airline has been working to stabilize amid ongoing challenges in the competitive aviation sector.
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