Half Way Through Air India’s 5-Year Transformation Plan: 9,000 New Hires, 60+ Refurbished Aircraft and More

Air India's workforce has grown significantly over the past two years, with the addition of 9,000 new employees, including 5,000 crew members.

According to CEO Campbell Wilson's statement on Friday, this expansion aligns with the airline's growing fleet and network.

Air India Hires 9,000 Employees

The airline has seen notable market share increases both domestically and internationally. Its domestic market share rose from 24% in FY23 to 27% in FY24, while its international market share climbed from 21% to 24% during the same period. These gains are attributed to network expansion and improved service quality.

Air India has now reached the halfway point of its ambitious five-year transformation plan, Vihaan.AI. The Tata Group-owned airline reported impressive financial results for the last fiscal year on a consolidated basis. Operating revenues increased by 25%, while losses were cut by more than half.

Wilson emphasized the significance of these early results, noting that they were achieved before the full implementation of many planned initiatives. He expressed optimism about the ongoing transformation efforts, stating that work has continued at a rapid pace in the six months since the end of the fiscal year, maintaining strong momentum.

The influx of new employees has reduced the average staff age from 54 to 35 years, reflecting a strategic shift towards a younger, more dynamic team.

Fleet Refurbishment Program Underway

The airline has initiated a comprehensive refit program for its narrow-body fleet, upgrading 67 aircraft with new cabin configurations and seats. This ambitious project aims to modernize the entire narrow-body fleet by mid-2025, with three to four aircraft undergoing retrofitting each month.

CEO Campbell Wilson announced plans to extend the refurbishment to 40 legacy 787 and 777 aircraft, pending certification and delivery of selected seats. This move underscores Air India's commitment to enhancing passenger experience across its fleet.

Air India's operational fleet now stands at 142 aircraft. The carrier has expanded its network, launching 35 new routes – 10 domestic and 25 international – and introducing 11 new destinations, including two domestic and nine overseas locations.

Wilson emphasized the holistic approach to the airline's transformation, highlighting efforts in cost reduction, product improvement, sales strengthening, distribution enhancement, revenue management, customer loyalty programs, reputation building, efficiency drives, and skill upgrades. He stressed that all these initiatives contribute to the airline's financial performance.

Tata Group acquired the previously loss-making Air India in January 2022. As part of the group's airline business consolidation strategy, Air India Express and AIX Connect will complete their integration in October, while the merger of Air India and Vistara is scheduled for November.