Schedule collapse fallout: IndiGo CEO Pieter Elbers resigns, founder Rahul Bhatia takes over management

NEW DELHI: IndiGo CEO Pieter Elbers Tuesday resigned from the airline with immediate effect, three month after the airline’s unprecedented domestic schedule collapse last Dec that had left lakhs of passengers stranded at airports across its network. Airline founder & MD Rahul Bhatia will be the interim CEO till a replacement is found.

Making his disappointment about the Dec chaos clear, Rahul Bhatia said in an internal mail to employees sent on Tuesday: “What happened last December should never have taken place.... Our customers didn't deserve it and nor did all of you, especially the frontline employees who bore most of the brunt for no fault of theirs.... I wish to place on record my indebtedness to all my colleagues who carried the company's cross with grace and dignity, and ploughed through sleepless nights to restore IndiGo's operational integrity.”

Now both of India's biggest airlines — IndiGo and Tata Group’s Air India — are scouting for new CEOs. While promoters of the latter are concerned at the slow progress in revival, that of the former are upset at the rapid schedule collapse last Dec. The IndiGo chaos — which happened at a time when Russian President Putin was in Delhi for a state visit — had left stranded passengers extremely angry some of who even today await their refunds for the cancelled flights.

But it left the govt furious and Bhatia, then recuperating from a surgery in Switzerland, was also extremely upset. While action against some post holders and fines on IndiGo have been initiated, the CEO's resignation is seen as the biggest move by the airline triggered by the Dec chaos.

Signed as “Rahul alias ('Main Hoon Na’)", the founder's mail to employees says: “I step into my expanded role of managing the affairs of IndiGo with a deep sense of responsibility not only to the company's customers and its shareholders, but to every employee who powers this airline. I see the resilience in the effort you put in, and I greatly value your dedication… fully committed to strengthening our culture, reinforcing operational excellence, and ensuring that we continue to deliver exceptional service and value to our customers.”

The action, planned for some time by the airline brass, was waiting for operations to stabilise. “They have to run the airline and couldn't have removed those found responsible in one go,” said senior govt briefed on the matter.

Elbers’ resignation letter to Rahul Bhatia reads: "....due to personal reasons, I herewith submit my resignation from the position of CEO of IndiGo with effect from (Tuesday). I would request that notice period may be waived off.... If the company so desires, obviously, I will be available for any handover or transition otherwise," Elbers had taken over in Sept 2022, when post Covid the domestic leader was eying a similar expansion in the international skies.

The airline informed BSE that Elbers " will be relieved from the service of the company effective close of business hours on March 10, 2026."

The changes have been coming in thick and fast at IndiGo after Dec chaos. On Feb 20 it had appointed Captain Rohit Rikhye as the head of its operations control centre, removing Jason Herter from the position.

DGCA probe into IndiGo schedule collapse had identified “over-optimisation of operations, inadequate regulatory preparedness along with deficiencies in system software support and shortcomings in management structure & operational control” as the primary causes for the disruption. “The airline’s management failed to adequately identify planning deficiencies, maintain sufficient operational buffer, and effectively implement the revised FDTL provisions,” the report had said. IndiGo’s “overriding focus on maximising utilisation of crew” was found to have significantly reduced roster buffer margins. “Crew rosters were designed to maximise duty periods… and minimal recovery margins. This compromised roster integrity and adversely impacted operational resilience,” it had said.