Air India has laid off more than 180 non-flying staff due to their inability to utilize voluntary retirement schemes and reskilling opportunities. The airline is undergoing a business model transformation under the Tata Group.
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In a move to streamline its operations, Air India has laid off more than 180 non-flying staff in recent weeks, according to sources. The airline, however, maintains that the affected employees were unable to utilize the voluntary retirement schemes (VRS) and reskilling opportunities offered by the company.
Streamlining Business Model
Air India, which was taken over by the Tata Group in January 2022, is undergoing efforts to optimize its business model. As part of this process, the airline has been assessing the suitability of all employees over the past 18 months and assigning roles based on organizational needs and individual merit.
Voluntary Retirement Schemes and Reskilling
The airline has offered multiple VRS and reskilling opportunities to its employees during this period. However, less than 1% of the employee base has not been able to avail these options, leading to the decision to part ways with them.
Honoring Contractual Obligations
Air India has emphasized that it is honoring all contractual obligations during the layoff process. The exact number of affected employees has not been officially disclosed by the airline, but sources indicate that it is slightly over 180 legacy employees.
Building an Agile Workforce
The airline's spokesperson stated that as part of its multi-year transformational initiative, Vihaan.AI, one key objective is to establish an agile and effective organizational structure. This restructuring aims to support the airline's expansion and growth ambitions.
Air India's decision to lay off non-flying staff reflects the challenges faced by the aviation industry in the wake of the COVID-19 pandemic. While the airline is taking steps to streamline its operations, it is also ensuring that affected employees are provided with support and contractual obligations are met.
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