The Industrial Court recently ordered AirAsia to pay RM268,620 in compensation and back wages to the company's former pilot, Eric Koh.
The punishment was imposed after a former employee of the airline claimed to have been forced to resign after the company imposed a salary cut of up to 75% "unlawfully" during the pandemic.
Koh, who joined AirAsia in 2018, said the pay cuts had had a huge impact and affected his life.
AirAsia denied the allegations, claiming that Koh resigned voluntarily without being forced by the company.
However, the court rejected the argument, with the chairman of the court, S. Vanithamany, insisting that the salary deduction was done without Koh's consent and knowledge.
The court also found that Koh's contract did not specify the number of flight hours for the base salary, making the salary deduction unjustified.
Interestingly, AirAsia reportedly posted a profit in 2021 despite the challenges of the pandemic, which raises questions about the real need for the salary cuts to be made.