Air India to raise employee pay to pre-Covid levels, revise layover benefits

New Delhi: Starting on September 1, Air India will reinstate the pay that was reduced as a result of the coronavirus pandemic. The loss-making airline, which was acquired by Tatas in January of this year, also decided to alter the staff meal and layover allowances as of 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, PTI reported.

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.