‘No impact on Jet’: Airline on reports of non-payment of gratuity, other arrears

Jet Airways, in a clarification to BSE, stated that reports of its staff approaching the labour department over non-payment of gratuity and other dues would not have any impact on the airline. It added that the seeking of recovery of the gratuity dues is not ‘material’ for the purposes of Regulation 30 of the Listing Obligations and Disclosure Requirements (LODR) regulations.

The airline issued a clarification on reports that stated that a group of Jet’s former employees have urged the labour department to initiate steps to summon the management of the airline, including former Chairman Naresh Goyal, over the non-payment of gratuity and salary arrears.

“The claims are still at the stage of the employees filing their application before the labour commissioner. No event has taken place requiring a disclosure under Regulation 30 of the LODR,” it stated in a filing.

The beleaguered airline stated that submissions regarding gratuity dues have been made on behalf of the Monitoring Committee before the Labour Commissioner, that all claims have been treated as part of the resolution plan and that these will be settled in accordance with the provisions of the Insolvency & Bankruptcy Code. A hearing on the same has been scheduled for October 8.
 
“The said article ought to have no impact on Jet -- as of the approval of the resolution plan, all past claims and dues not provided for under the resolution plan stand extinguished. Accordingly, no new liabilities or claims on Jet are foreseen on this account,” it stated in the filing.

Jet Airways also added that there have been no negotiations in the matter and it does not require the company to file a disclosure under Regulation 30 of SEBI. “The Company, however, is not in a position to comment on the impact of this article on the movement in trading of shares of the Company on stock exchanges,” it clarified.

The airline concluded that various associations of employees and workmen have independently approached the NCLAT to oppose the approval of the resolution plan by NCLT. It added that these appeals remain pending and that no orders have yet been passed by the NCLAT.

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