Air India’s massive crackdown: 1000+ staff sacked for ethical misconduct in 3 years - Here's what CEO said

Air India has terminated more than 1000 employees over the past three years for various ethical violations, the airline’s CEO and Managing Director Campbell Wilson said during a recent town hall meeting with staff, according to sources.

Addressing employees on Friday, Wilson reportedly highlighted multiple instances of misconduct within the organisation, stressing the importance of integrity and accountability at the workplace. He said the airline takes ethical breaches seriously and has acted against employees found violating company rules and policies.

Among the violations cited were cases involving smuggling items off aircraft, permitting excess baggage without charging passengers, and misuse of the airline’s Employee Leisure Travel (ELT) scheme. Wilson noted that hundreds of employees were found to have improperly used the travel benefit system, adding that such behaviour was unacceptable.

The comments come at a time when the Tata Group-owned carrier is implementing several cost-control measures amid mounting financial pressure. Sources said the CEO reminded employees that staff must continue to follow the right practices even when no one is monitoring them.

Earlier this year, sources had informed PTI that the airline uncovered widespread discrepancies in the use of its leisure travel policy. The issue reportedly involved more than 4000 employees, prompting the airline to initiate corrective measures and impose penalties on those found at fault.

Tata Group-backed Air India currently employs around 24000 people across its operations.

The airline has recently introduced multiple cost-saving initiatives as it battles financial challenges. These measures include withholding annual salary increments for employees and asking departments to reduce discretionary and non-essential spending. Staff have also been cautioned about 'tough times' ahead if market conditions do not improve.

During the interaction, Wilson reportedly warned employees that the current financial year could become 'very, very difficult' if the situation in the Middle East continues to remain unstable.

The broader Air India Group, which includes Air India Express, is estimated to have posted losses exceeding Rs 22000 crore for the financial year ended March 2026.