IndiGo likely to hire former executives to steer its regional foray
InterGlobe Aviation Ltd, which runs India’s largest airline IndiGo is likely to fall back on some of its founding team members to setup its new regional foray, according to a person with knowledge of the matter who declined to be named.
Shakti Lumba who setup the airline’s operations in 2005, and was then hired by the airline’s promoter Rahul Bhatia as one of the first few employees, is likely to be brought back to set up the regional division. Lumba moved on from the airline around 2009 as vice president of operations. He was before joining IndiGo part of Air India where he led the national’s carrier’s regional airline arm Alliance Air.
IndiGo is also likely to bring in Sunita Srivastava who was till recently vice president - flight operations control centre & dispatch and was also part of the founding team. She has also worked with Air India and its regional subsidiary Alliance Air. Srivastava is likely to be part of Lumba’s team.
Lumba declined to comments on the subject.
An email, call and text message sent to IndiGo on Sunday did not elicit any response.
The airline on Tuesday announced it has signed a term sheet with French aircraft maker Avions de Transport Regional GIE for the purchase of 50 ATR 72-600 aircraft. A term sheet becomes a firm order after both sides sign off on the deal.
IndiGo plans to launch its turboprop operation by the end of 2017 and expects to induct up to 20 aircraft by December 2018.
Unlike the narrow body aircraft like Airbus A320 and Boeing 737, procuring pilots is the most critical resource for a ATR operation. Most graduate to bigger jets after belting enough hours on their log book.
Among major airlines only Air India, Jet Airways and SpiceJet use turboprop planes in India.
“They will eat into this pool. We pay ₹7 lakh to out ATR pilots. This will lead to war for talent. Fares will also come under pressure,” said an Air India official who did not wished to be named adding many of its ATR pilots are expats because of lack of local availability.
Air India itself is adding over half a dozen ATR planes and it too will need more trained captains and co-pilots.
Lumba, himself a former pilot, is likely to help bring in pilots.
IndiGo’s regional foray will create more jobs across other areas also. The airline on Tuesday said it will start hiring soon. The new regional foray will be run as a separate division under IndiGo where mainline operations will be carried out by existing team and the new one will benefit from a common human resource and legal department among other help.
IndiGo’s foray into regional operations could be led by multiple calls, said an analyst who did not wish to be named.
For one, there was a clear government policy in place in the form of Udan which provides subsidy to fly new or undeserved routes. This benefits everyone flying thin routes.
Secondly, the airline will now be able to fly to 20 more airports which it could not have flown with its bigger A320s. This means wider market penetration.