Air India operating through a challenging phase: N Chandrasekaran

Tata Sons chairman says Air India is navigating a tough phase amid disruptions but remains committed to long-term transformation and improving customer experience

Tata Sons Chairman N. Chandrasekaran told an Air India employee townhall on Friday that the airline is operating through a challenging phase while its long-term transformation continues to advance, with a vision to ensure equal dignity for passengers in the first row and the last row of a flight.

 

The address comes at a time when Air India is dealing with leadership change after chief executive Campbell Wilson resigned in early April. It came amid sustained execution pressures, heightened regulatory scrutiny following maintenance-related lapses, and operational disruption from the West Asia war. 

 

The conflict has forced large-scale rerouting and cancellations, including around 2,500 flights to the region, with Air India operating close to 30 per cent of its normal West Asia schedule. It shifted several Europe-bound services to longer southern routes via Africa, increasing flight times and fuel consumption.

   

Addressing employees at the Air India group headquarters and later meeting the broader leadership team, Chandrasekaran said the workforce had already demonstrated resilience in difficult conditions.

 

“Air Indians have shown great tenacity in dealing with a perfect storm, and we must continue with the same spirit that has been demonstrated,” he said.

 

He reiterated strong backing from the promoter group, adding, “The Tata Group remains committed to Air India group. The board is fully supportive and will continue to work closely with the management team.”

 

Chandrasekaran said the airline had reached a critical stage in its transformation journey, highlighting structural and operational changes underway over the past four years.

 

He added, “It has been an incredible four years, and Air India group has reached a critical stage of its transformation. Over 17,000 employees have been hired and onboarded, four airlines have been merged into two, core systems are being modernised, the fleet is expanding, aircraft are undergoing major refurbishment, and our network and operational metrics continue to improve, resulting in a clear improvement in customer experience and net promoter scores.”

 

Reaffirming the long-term vision, he said the objective remains to create a globally-competitive airline rooted in service quality and consistency.

 

“We remain committed to building a world-class airline. Our vision is to connect India to the world, and to establish service standards where there is as much dignity and respect for the passenger in the last row as there is for the passenger in the front row,” Chandrasekaran said.

 

On operations and priorities, Chandrasekaran mentioned safety as the most critical pillar. “Safety is of utmost importance for Air India. It is non-negotiable and sits at the centre of every decision we take across operations, engineering, training and customer experience,” he said.

 

He also acknowledged the external environment and near-term pressures facing the airline industry. “While our future is bright and we have laid a solid foundation for our ambition, we are going through a challenging time, the impact of which is most visible in the airline industry.”

 

He urged employees to remain focused on execution and financial discipline. “What matters now is staying focused on execution. Our focus should be on what is within our control, where we can improve, be precise on costs and remain grounded in the reality of the situation.”

 

Calling for resilience in the face of criticism, he added, “Take pride in what is being done, feel proud of yourself, don’t get distracted. Criticism will always be there but take it objectively. Don’t get upset; there is no progress without criticism. If the core message of the criticism is justified, fix it.”

 

He concluded by asking employees to keep customer focus central and maintain collective momentum. “Work together, keep the customer in mind. The journey has just begun, and we have a long way to go. Keep at it. We will get there,” he said.

Rallying the troops

• Tata group remains committed to Air India
• Board is fully supportive and will continue to work closely with management
• Air India group has reached a critical stage of its transformation
• Asked employees to keep customer focus central and maintain collective momentum