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Air India reviews cost-cutting steps amid rising losses

New Delhi

The Air India board, backed by the Tata Group, has discussed cost-cutting measures including possible employee furloughs and deferment of performance-linked bonuses as the airline faces mounting losses and rising operational pressures. A meeting held in Gurugram reportedly lasted over three hours and focused on financial performance, cost rationalisation, and operational challenges linked to higher fuel prices and West Asia airspace disruptions. The airline is also evaluating temporary unpaid leave and expense reductions amid rising costs. With losses estimated at over ₹22,000 crore in FY26, the board also discussed leadership transition plans, including the upcoming departure of CEO Campbell Wilson later this year.

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