Private aircraft carrier Air India will restore employees’ salaries that were cut during the COVID-19 pandemic. The salaries will be restored from September 1, an official communication reportedly said. The airline, which was taken over by the Tatas in January this year, has also decided to revise crew layover allowances and meal arrangements from September 1. In the communication to the employees, Air India CEO and Managing Director Campbell Wilson said the airline "will be restoring the salary reduction for all employees with effect from September 1, 2022".
While the airline has much to do to return to profitability, "sunsetting most of the COVID measures is an important and welcome milestone", he said. The coronavirus pandemic had significantly impacted the airline industry, and the operators had resorted to cost-cutting measures, including salary reductions, to manage their financials. Economic Times reported that budget airline IndiGo, which is Air India’s competitor, is planning to restore pilots’ salaries to pre-COVID-19 levels in November this year.
Meanwhile, Air India recently increased the stipulated retirement age for pilots, from 58 to 65.“Considering future expansion plans for our fleet, it is imperative to meet our workforce requirement for pilots. DGCA (Directorate General of Civil Aviation) allows pilots to fly till the age of 65 years, compared to Air India retirement age of 58 years. Allowing pilots to fly till the age of 65 is a practice followed by most airlines in the industry,” The New Indian Express quoted an internal document as saying. The company said that it will constitute a panel to examine the eligibility of those pilots set to retire in the next two years, and the shortlisted names would be issued a post-retirement contract, which reportedly include a clause for annual review of the contract basis performance, conduct and flight safety record.