Air India Announces Salary Hike & Performance Bonus
Pilots will see monthly salary increases ranging from Rs 5,000 to Rs 15,000 & first officers and captains will receive a monthly fixed pay increase of Rs 5,000 each
Air India has announced annual salary increments for its staff, along with an annual performance bonus for pilots, marking the first appraisal process since the Tata Group took over the airline over two years ago.
Ravindra Kumar GP, Air India's Chief Human Resources Officer, stated that salary increments will be effective from April 2024, with performance bonuses for FY 2023-24 contingent on both company and individual performance.
Pilot Salary Increases
Pilots will see monthly salary increases ranging from Rs 5,000 to Rs 15,000, based on their experience and position. The annual performance bonus for pilots could reach up to Rs 1.80 lakh, according to sources cited by PTI.
Annual appraisals have been implemented for all employees who joined before 31 December 2023, including ground staff, cabin crew, and pilots. These appraisals are based on the new Performance Management System, Rise.AI.
Beyond the fixed pay increases for FY 2023-24, an annual performance bonus for pilots has been introduced, to be applied from FY 2024-25 onwards, based on both company and individual performance.
Employee Salary Revisions
First officers and captains will receive a monthly fixed pay increase of Rs 5,000 each. Commanders and senior commanders will see monthly hikes of Rs 11,000 and Rs 15,000, respectively. Junior first officers will not receive a fixed pay hike.
Employee Bonuses
The annual performance bonus will be based on company and individual performance. Junior first officers meeting expectations will receive an annual bonus of Rs 42,000, while first officers and commanders will get Rs 60,000. Commanders and senior commanders will receive Rs 1.32 lakh and Rs 1.80 lakh, respectively.
This appraisal marks the first since the Tata Group’s acquisition of Air India in January 2022. Last year’s efforts focused on compensation and contract restructuring for legacy employees.
With approximately 18,000 employees, Air India is in the midst of a five-year transformation plan, offering competitive salary increments to attract and retain talent and fostering a performance-driven, meritocratic culture.
During the appraisal announcement, CHRO Kumar highlighted that the airline achieved significant milestones in the past financial year, laying a strong foundation for growth and transformation. As part of the Vihaan.AI transformation plan introduced in late 2022, Air India implemented the Rise.AI performance appraisal process and transitioned to a more streamlined, market-competitive, and productivity-oriented compensation structure.
Air India, part of a group that includes Air India Express, AIX Connect (formerly AirAsia India), and Vistara, is undergoing significant restructuring. Air India Express is merging with AIX Connect, and Vistara is set to merge with Air India.
