At first glance, DGCA’s order to IndiGo to reduce flights by ten percent may appear to be a harsh action. It seemed as if the government had put a lot of pressure on the airline. Flights will decrease, earnings will decrease and IndiGo will suffer a huge blow, but if we look at the internal situation, the story is completely different.
The most interesting thing related to Indigo is that the airline suffered almost no real loss due to this order. For the past several months, IndiGo was facing an acute shortage of pilots and cabin crew. Although on paper there appeared to be many flights, the reality was that a large number of flights were being canceled every day due to non-availability of crew. In the last week alone, more than five thousand flights had been cancelled, meaning that the services offered were not running.
DGCA’s order and Indigo’s problems combine
DGCA directed that the airline reduce its flights by ten percent, but the flights that IndiGo removed from the list were those which it was already unable to operate due to shortage of staff. The result was that even after the order, there was no significant difference in the operations. The flights are running as usual, the loss is negligible and the airline has made the matter easier by giving it the appearance of following the rules.
Has the strict action on the airline been postponed?
The buzz in the market is that more stringent action could have been taken against Indigo. Some experts believe that in view of the continuous cancellation of flights and ignoring of FDTL rules, heavy penalty or strict action related to license was expected, but at present the order of only ten percent reduction seems to end the matter. Now all eyes are on whether DGCA will take any further inspection or punitive action or not.
Indigo got indirect relief from the order
It is believed that at present this instruction will not have any serious economic impact on Indigo. Rather, the directive has become a way for the airline to cover up the problem it has been facing for a long timeāthe shortage of pilots and crew. Now she can claim this reduction as a government order and show that the reduction in flights was her compulsion, not her lack.
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