Travel app ixigo has reinstated salaries and granted deeply discounted ESOPs to all its employees to compensate for the pay cuts made during the last three months, the company announced in an internal “All Hands Meet” yesterday.
The current ESOP grant announced will result in an additional 2.3% of the company’s overall shareholding being given to all 150 ixigems (ixigo employees). This is one of the largest and most deeply discounted ESOP grants in the company’s history, and with the lowest stock vesting period of just one year (as compared to the 4-5 years norm in the industry).
Just made 3 big announcements at @ixigo all hands:1) Salaries being reinstated from July2) Giving ~2.3% of our co… https://t.co/MCeXCUQxad
— Aloke Bajpai (@alokebajpai) 1594204239000
Earlier this year, in March, with the lockdown coming into effect and the subsequent travel ban, the travel sector was one of the hardest hit. At that time, ixigo announced graded pay cuts across the team. ixigo’s co-founders voluntarily let go of their entire salary and the leadership team took a 60%+ pay-cut graded by pay. The rest of the company mutually agreed to a 20% to 50% pay cut depending upon the different compensation brackets.
As of yesterday, ixigo has reverted salaries for all its employees and has re-initiated hiring for technology and customer experience roles. ixigo has not laid off any employee during the crisis.
Aloke Bajpai, Co-Founder & CEO, ixigo said in a release:“Since the inception of ixigo, we have believed in empathy and transparency as our core values. We believe we made the right decision by sticking together and we are well prepared for the next 12 months road to recovery. We expect to get back to 50% of our pre-Covid revenue level by the end of 2020.”
Rajnish Kumar, Co-Founder & CTO, ixigo added that as part of its employee benefit programmes, ixigo will let employees work-from-anywhere till the end of this year, for their safety and comfort.”