Tata-Owned Air India Initiates Workforce Reduction, Citing Operational Streamlining

Over 180 non-flying workers of Tata-owned Air India were let off in recent weeks, according to a new development. According to PTI, the airline stated that these workers were not eligible for the voluntary retirement programmes (VRS) or re-skilling opportunities.

Causes of the Layoffs

Since January 2022, when Tata took ownership, the goal has been to simplify Air India's business plan. A spokesman stated that attempts have been made to match the demands of the organisation and individual merit with employees performing non-flying tasks.

photo: AIR INDIA

Assessment Process

A comprehensive process was undertaken over the past 18 months to assess the suitability of all employees. During this time, multiple voluntary retirement schemes and reskilling opportunities were offered, as the spokesperson highlighted.

Impact on Employees

While the exact number of laid-off staff was not disclosed, it was reported to be slightly over 180 employees. The company emphasised that it is fulfilling all contractual obligations.

photo: AIr india leadership

Future Initiatives

Two rounds of VRS have been offered since Tata's takeover. Additionally, the airline is undertaking a multi-year transformational initiative called Vihaan.AI. One of its key objectives is to establish an agile and effective organisational structure in line with the business model to support expansion and ambition, the spokesperson added.

Conclusion

The layoffs at Air India underscore the ongoing efforts to reshape the airline under Tata's ownership. Despite challenges, the company remains committed to its employees while pursuing strategic transformations in the aviation industry.

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