Air India to restore staff salaries to pre-COVID level

Air India will restore salaries that were cut in the wake of the coronavirus pandemic from September 1, according to a communication.

The loss-making airline, which was taken over by 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.

Earlier this year, Air India started restoring salaries to the pre-pandemic level in a phased manner.

Queries sent to Air India remained unanswered.

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.

Tatas took over Rs 15,300 crore of debt of Air India and Air India Express Ltd while the remaining Rs 46,262 crore loan plus an outstanding of about Rs 15,000 crore towards unpaid fuel bills were paid off by the government.