According to Air India CEO Campbell Wilson, a significant number of pilots have agreed to the recently proposed compensation plan despite protests from pilot unions over the updated salary framework and service terms.
The Tata Group, which took over the financially unstable airline from the government in January 2022, has announced a fresh compensation plan for the pilots and cabin crew.
Air India CEO Remarks
On Friday, in his customary weekly communication to the Air India workforce, Campbell Wilson stated that the company is making significant investments in workplace technology and training. In addition to upgrading employee benefits to serve its employees better.
Campbell Wilson announced in a statement on Friday that the majority of pilots and 90% of cabin crew have accepted the new compensation package, which was rolled out on April 17, 2023.
The revised compensation structure will be effective from April 1, 2023. It will provide improved benefits to Air India employees.
However, the Indian Commercial Pilots Association (ICPA) and Indian Pilots Guild (IPG) have rejected the new contracts. Claiming that the airline did not follow labor practices by not consulting with them before finalizing the agreement.
Both unions have urged their members not to sign or accept the revised salary structure. In the meantime, Air India is investing in new and advanced employee benefits, training, and workplace technology, as Campbell noted in his weekly message to the Air India staff.
Air India Salary Structure
Air India, which employs over 1,800 pilots, is undergoing a five-year transformation plan. Further to expand its domestic and international market share by expanding routes and flights.
As part of this transformation, the airline has placed a firm order for 470 aircraft and is also upgrading its technology systems. To support its growth plans, Air India is actively hiring more than 1,000 pilots and will be adding over 500 aircraft to its fleet in the coming years.
The salary structure for Air India pilots has been revised as per an internal circular dated April 17. Further, the new structure will lead to pay hikes for almost 2,700 pilots working with Air India and AIX Connect. It has over 5,600 members of the airline’s cabin crew.
Additionally, the adjustment has increased the guaranteed flying allowance component from the earlier 20 hours to 40 hours.
Despite the improvements in the new compensation package, the number of flying hours is still considerably lower. Then, during the pre-pandemic era, which was a minimum of 70 hours for Air India pilots.
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