SpiceJet Extends ESOP Scheme To Mid-Level Employees, Critical Resource Staff

Budget carrier SpiceJet has extended its employee stock ownership plan (ESOP) scheme to certain mid-level employees as well as "critical resource" staff for the role they played in the company amid the COVID-19 crisis, sources said on Tuesday.

Critical resource staff is a set of employees who are not easily replaceable. Under the ESOP scheme, employees get company shares that vest over a period of time. Till now, SpiceJet's ESOP scheme was for the top management only.

SpiceJet has been going through a tough time for the last few years. The airline reported a net loss of Rs 934.8 crore and Rs 998.3 crore in 2019-20 and 2020-21, respectively.

The airline's decision to grant ESOP scheme to mid-level employees as well as critical resource staff comes at a time when two airlines -- revamped Jet Airways and new carrier Akasa Air -- are planning to start flight operations this year. The entry of these carriers has created more job opportunities in the aviation market.

According to sources, the airline sent an e-mail to select mid-level and critical resource staff, telling them that "in the last three years, you all have been outstanding and have demonstrated great dedication and resilience" and the management of SpiceJet will like to express highest gratitude for the "hard work done by each one of you".

Therefore, to express sincere appreciation, the airline is launching ESOP scheme for employees, the e-mail said, the sources mentioned.