Trouble at Air India: Massive losses and mass terminations

NEW DELHI: In a stern address to staff, Air India CEO Campbell Wilson confirmed the dismissal of approximately 1,000 employees over a three-year period, citing systemic breaches of discipline and professional ethics. The terminations follow a series of internal audits that uncovered illicit activities, including the pilferage of onboard supplies and the facilitation of unauthorised excess baggage.

The revelations surfaced during a town hall meeting centred on the airline's aggressive cost-reduction strategy. Wilson highlighted a significant breach of trust involving the Employee Leisure Travel (ELT) program, which was reportedly exploited by 4,000 staff members. "Lapses in integrity from our personnel are inexcusable," Wilson remarked, reinforcing that the airline will continue to enforce a rigorous compliance framework.

The Tata-owned carrier, which maintains a workforce of 24,000, is navigating turbulent financial waters. The group—comprising Air India and Air India Express—is projected to post a staggering loss of over ₹22,000 crore for the 2025-26 fiscal year. To mitigate the deficit, management has moved to freeze annual increments.
The outlook remains cautious; Wilson warned that continued instability in West Asia could further exacerbate the airline's financial strain throughout the current year.