As merger news rolls out, Vistara boss asks staffers not to worry about the future

It will be business as usual, says Vistara CEO as he calms employees over merger with Air India

Tata group’s announcement of a merger between Vistara and Air India had made headlines, with many speculating about what the future would look like at Vistara. However, soon after the merger plan had been made public Vistara CEO Vinod Kannan has called out to employees of the airline to cast aside any worry they have.

Kannan has been quoted by a report saying that it will be “business as usual” for all stakeholders during the integration process, and that this process would take some time. He wrote a letter addressing all employees, saying that they need not all worry about the merger. The airline company currently employs around 4,700 people.

Vistara is 51 percent owned by the Tata group, while the remaining 49 percent shares are with Singapore Airlines (SIA). Vistara is a full-service carrier, and was the country’s second-largest domestic carrier with a market share of 9.2 per cent in October, the report added.

Vistara–Air India merger had sparked speculations

Calling upon Vistara staffers, Vinod Kannan urged them not to worry or speculate on their future. He stressed that Vistara will stay as “an integral part of the aviation footprint of our shareholders and this does not change – regardless of the AOC we ascribe to.” Stating that the airline will continue to be guided by both the parent companies’ legacies even as the merger with Air India happens.

Reiterating that the merger will mean business as usual for stakeholders and customers, he added that the process of integration will take some time to complete. He also stated that relevant information will be shared with all of them as appropriate.

Expansion of operations to go on

The Vistara CEO also made it clear that the expansion road map of the airline will go on, and that it will expand its fleet to 70 from the current 54 by year 2023. This apart, Vistara will also look at bringing in fresh routes and destinations.

He added in the letter to employees that Vistara will progressively introduce fresh routes and destinations as planned earlier. The airline operates flights to as many as 43 destinations in both the domestic and international sector. These routes make its operations at 260 flights daily.

Sanjeev Ramachandran

A journalist with 23 years of experience, Sanjeev has worked with reputed media houses such as Business Standard, The Ne More »

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