According to reports, the cash-strapped local airline Go First has provided the Directorate General of Civil Aviation (DGCA) with a six-month rehabilitation plan. According to a report released on June 2nd, the proposal has been presented to the aviation regulator by the interim resolution professional (IRP).
According to a Financial Express story, Go First intends to begin operations with its fleet of 26 functioning aircraft and 400 pilots.
Go First also intended to restore service on the Pune, Bagdogra, and Goa lines, according to the statement. Go First also promised to send two aircraft to commence chartered flights between Delhi and Srinagar and Delhi and Leh right away in their resume plan to the DGCA.
Since May 3, Go First has canceled all of its flights and pleaded with the NCLT to start voluntary insolvency procedures.
An Interim Resolution Professional (IRP) has been appointed by the National Company Law Tribunal (NCLT) to oversee the crisis-stricken Go First. Abhilash Lal was chosen as the IRP to oversee the airline after the National Company Law Tribunal (NCLT) accepted the company’s voluntary insolvency resolution petition on May 10.
In its submission to the DGCA, the airline business also included various additional updates.
According to persons acquainted with the situation, the airline informed the DGCA that oil marketing businesses had offered to assist Go First. Financial Express published this.
Oil marketing businesses had their operation on cash and carry conditions prior to the airline’s filing for insolvency, which required the airline to pay its debts on a daily basis.
Till June 4th, the airline’s activities are suspended. The resuscitation plan lists 15 of the 20 largest travel agencies as supporting ticketing services in addition to oil marketing firms.
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Resumption strategy for Go First
After gaining DGCA certification, the Go First airline reportedly stated that it may deploy two aircraft to begin chartered flights between Delhi and Leh, and Srinagar immediately.
On the flights to Pune, Bagdogra, and Goa, the airline intends to start offering regular services again. The airline added that eight to ten planes will be available for the scheduled routes.
A number of applications from Go First lessors asking for the deregistration of their aircraft have been filed, and the Delhi High Court has reserved judgment.
Go First restructures salaries
A few days ago, Bloomberg reported that the financially troubled Go First airline intended to increase captains’ pay by 100,000 rupees per month and first officers’ pay by 50,000 as it strives to save its operations after declaring bankruptcy on May 3.
According to a pilot email obtained by Bloomberg News, the increased compensation, which the airline refers to as a retention allowance, will take effect on June 1st. Additionally, it will be made available to former employees who wish to revoke their resignations before June 15th.
The airline, which changed its name to Go First two years ago, also announced that it will shortly reinstate a “longevity bonus” for long-tenured employees.
