Air India revamps pilot pay, career path to curb attrition
Air India has introduced a new compensation package for pilots, featuring an 8–15% increase in fixed salary and improved training pay. The move aims to reduce pilot attrition and address crew shortages at its low-cost subsidiary, Air India Express.
Why it matters
This restructuring is critical for Air India's operational stability and competitiveness against industry leaders like IndiGo following its privatization.
In a bid to stem pilot attrition and strengthen retention, Air India has unveiled a revamped pay and career progression package that includes an 8–15% increase in fixed salary, and higher flying pay for hours beyond the guaranteed 40-hour threshold.
The Tata Group-owned airlines also enhanced training compensation, new incentives for Boeing 737 pilots to address cockpit shortages at Air India Express, and preferred base postings for pilots assigned to the low-cost subsidiary.
Following its privatisation, Air India introduced a 40-hour guaranteed pay structure in 2022, well below industry leader IndiGo’s 70-hour guarantee, a disparity that contributed to pilot attrition. The latest overhaul is aimed at narrowing that gap and improving the airline’s ability to retain cockpit crew.
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