Air India's Tata Takeover Timeline: Optimism To Turbulence
The development at Air India Express comes a month after Tata Group full-service carrier Vistara witnessed pilot woes.
The plans for a smooth turnaround for Air India under the Tata Group have encountered significant challenges. Amidst the ongoing complex merger process, the airline faced a fresh setback due to a wave of flight cancellations triggered by mass pilot sick leave, causing widespread disruption for travellers. This incident is the latest in a series of troubles that have beset Air India since its acquisition by the Tata Group in January 2022.
The recent disruption saw over 80 domestic and international flights grounded since Tuesday due to a surge in last-minute sick leave by pilots and crew. As the airline worked to manage the crisis, the Civil Aviation Authority launched an investigation into the situation.
Prior to this, in late April, a section of Air India Express cabin crew had protested, citing mismanagement and unequal treatment, leading to a significant drop in morale.
January 2022: Tata Group Takeover
In January 2022, the Tata Group's acquisition of Air India was greeted with optimism. The debt-laden airline, known for inefficiencies under government control, was anticipated to undergo a substantial revival and restore its former reputation. The strategy included consolidating four airlines under the Tata umbrella: Air India, Vistara (a joint venture with Singapore Airlines), Air India Express, and AIX Connect.
However, despite the initial enthusiasm, the post-acquisition phase was marked by challenges in the merger process. The Tata Group secured a 100% stake in Air India, Air India Express, AirAsia India, and Vistara, with the merger expected to conclude by mid-2025. Nonetheless, the ambitious plan to integrate Vistara with Air India faced hurdles in April when Vistara pilots staged a strike to protest against the new compensation structure and the merger itself.
The protests led to significant disruptions at Vistara, with more than 150 flights, both international and domestic, cancelled. Numerous pilots and crew members took last-minute sick leave, disrupting operations. The issues stemmed from concerns regarding a revised pay structure that reduced guaranteed flying hours from 70 to 40 per month, potentially affecting their salaries. The situation escalated when Vistara's management issued an ultimatum to the pilots, exacerbating tensions.
Passengers travelling via Air India have long complained about poor cabin conditions, including broken seats, malfunctioning entertainment systems, and uncleanliness. These issues are prevalent in economy class, but even premium cabins haven't been spared.
Earlier a social media post highlighted a passenger's experience on a B777 flight from Delhi to Canada, where they paid Rs 4.5 lakh for a seat with subpar amenities.
This comes amidst Air India's efforts to refurbish its legacy fleet, with an investment of US $400 million planned to upgrade interiors, including seats and entertainment systems. The refurbishment is expected to be completed by the end of 2025, with some improvements expected in the second half of 2024.
Prior to this in January Air India was fined Rs 1.1 crore for safety violations on US routes. The DGCA acted upon a complaint filed by a former Air India pilot. The complaint alleged that the airline operated Boeing 777 aircraft on US routes without carrying the mandatory emergency oxygen equipment. After a thorough investigation, the regulator issued a show cause notice to Air India, ultimately resulting in a fine.
Later in March, a court case added to the evidence that Air India struggles with on-time performance. The District Consumer Disputes Redressal Commission of Chandigarh ruled in favour of a family who experienced a three-hour delay on an Air India flight. This delay caused them to miss a connecting train and incur additional expenses. The court ordered the airline to pay a compensation sum of Rs 20,000 to each member of the family of 5
On July 2022, a PTI report quoting Minister of State for Civil Aviation V K Singh disclosed that over 1000 passenger complaints were lodged against Air India alone in the last three months. The complaints ranged between issues including a refund of fares, overbooking of flights, and staff behavior
Another disturbing incident dated back to November 2022 on an Air India international flight from New York to Delhi sparked outrage and cast a shadow on the airline's image when, a passenger, Shankar Mishra, reportedly intoxicated, urinated on a fellow passenger, an elderly woman, in the business class cabin.
