Akasa Air, founded by CEO Vinay Dube and former IndiGo president Aditya Ghosh in 2022, had in June placed an order for four Boeing 737 Max jets to further its plans to fly internationally by the end of the year. File
| Photo Credit: PTI

Indian budget carrier Akasa Air is flying less and will give up market share in the short term to ensure it runs a reliable operation after some pilots quit the airline, CEO Vinay Dube told employees in an email late on September 20.

“When a small set of pilots abandoned their duties and left without serving their mandatory contractual notice period, it forced a disruption of flights between July and September, necessitating last-minute cancellations,” Mr. Dube said in the email reviewed by Reuters.

Akasa’s market share slipped to 4.2% in August from 5.2% a month earlier, according to latest available data from the Directorate General of Civil Aviation (DGCA), India’s aviation regulator.

The company has initiated legal action against the pilots who have quit without serving their mandatory contractual notice period, Mr. Dube said.

The airline, founded by Mr. Dube and former IndiGo president Aditya Ghosh in 2022, had in June placed an order for four Boeing 737 Max jets to further its plans to fly internationally by the end of the year.

The company is on track to announce a three-digit aircraft order before the end of the year, Mr. Dube said.

The Ministry of Civil Aviation (MOCA) designated the company as an International Scheduled operator, allowing Akasa to begin international flights, he said.

“The MOCA is now working on our request for traffic rights so you will have to wait a short while longer to know which international destination we will fly to first,” he added.

Akasa did not immediately respond to Reuters‘ request for a comment.

Shares of rival IndiGo, India’s largest airline by market share, reversed course to trade 0.5% higher after the report on Akasa.

Akasa Air, which currently has a fleet of 20 planes, started operations in August 2022. File

Akasa Air on September 16 said it has taken legal action against a “small set of pilots” for leaving the airline without serving their notice period.

The departure of pilots had led to cancellation of many flights.

Pilot shortage is impacting services of the airline, sources said.

“We have sought legal remedy only against a small set of pilots who abandoned their duties and left without serving their mandatory contractual notice period,” an Akasa Air spokesperson said in a statement.

The airline said the act was not only in violation of their contract but also the country’s civil aviation regulation.

“Not only is this illegal in law but also an unethical and selfish act that disrupted flights in August forcing last minute cancellations that stranded thousands of customers causing significant inconvenience to the travelling public,” it said.

Akasa Air, which currently has a fleet of 20 planes, started operations in August 2022.