Air India Fires Over 1,000 Employees-What Went Wrong?

The company cited several serious reasons for terminating over 1,000 employees in three years, including smuggling and waiving passenger baggage fees.

The crackdown comes at a time when Air India is under severe financial strain.

Source : PTI

Show Quick Read

Key points generated by AI, verified by newsroom

• Air India fired over 1,000 employees for conduct violations.
• Smuggling, excess baggage fees, and travel system misuse cited.
• Airline faces ₹22,000 crore loss, freezes salary increments.

Tata Group-owned Air India has dismissed more than 1,000 employees over the past three years for breaching the company's code of conduct.

CEO and Managing Director Campbell Wilson revealed this during a recent town hall meeting with staff. The dismissed employees faced serious charges, including smuggling goods on aircraft, allowing passengers to carry excess baggage without collecting the applicable fee, and misusing the company's Employee Leisure Travel (ELT) system.

Air India's ₹22,000 Crore Loss Problem

Wilson stressed that employees must conduct themselves with integrity even when no one is watching, and that hundreds of staff are removed every year for violations.

The crackdown comes at a time when Air India is under severe financial strain. The airline group is estimated to post a loss of over ₹22,000 crore in the financial year 2026. Adding to the pressure, aviation turbine fuel (ATF) prices have risen due to the ongoing conflict in West Asia. To manage these losses, the company has put annual salary increments on hold and is cutting non-essential expenses.

4,000 Employees Under Scanner for Travel Fraud

Air India currently employs around 24,000 people. Over 4,000 employees were investigated for misusing the Employee Leisure Travel system, while several were fined, and some were terminated. Wilson noted that despite signing the Tata Code of Conduct, many employees were not adhering to it, and made clear this would no longer be tolerated.