SpiceJet Settles Salary, GST Dues, Deposits 10 Months Of Pending PFs

The spokesperson said that the process of addressing other outstanding dues is currently underway. Through ongoing efforts, the airline has reached settlements with various aircraft lessors

Cash-strapped SpiceJet, which recently secured Rs 3,000 crore, announced on Friday that it has settled all outstanding salary and GST obligations, as well as deposited ten months' worth of provident fund dues. On September 23, the airline revealed that it had raised Rs 3,000 crore through a Qualified Institutional Placement (QIP) of shares.

An airline spokesperson stated that within the first week of securing new funds, SpiceJet has settled all outstanding salary and GST obligations and has made significant strides by depositing ten months' worth of provident fund dues. 

He added that the process of addressing other outstanding dues is currently underway. As part of its ongoing efforts, the airline has successfully reached settlements with various aircraft lessors.

SpiceJet has been grappling with numerous challenges, including financial difficulties and legal issues, while also operating with a reduced fleet.

Employees are now feeling relieved and optimistic as they prepare to resume their roles, hoping to see the airline regain its position in the industry. 

“I was worried about my family's future. I am so happy that the management has kept its word. We were promised all dues would be cleared by September 30, but they had already done it. I am proud to be part of this team!” remarked Manish Kumar, a member of the security staff, in an interview with ANI.

An airport staff member told ANI, “I honestly couldn't believe it when I saw my account. Three months of salary paid in one go and then getting my September salary on time, it's a huge relief.”

With plans to introduce new aircraft, expand its routes, and restore its network, SpiceJet is committed to reclaiming a stronger foothold in the competitive aviation market. These developments follow the airline's successful raise of Rs 3,000 crore through a Qualified Institutional Placement (QIP).

On Friday, SpiceJet's shares dropped 4.25 per cent, closing at Rs 62.79 per share on the BSE.