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Cost cutting: Air India to phase out expat pilots in a year

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  • As part of its ongoing cost-cutting exercise, national carrier Air India plans to phase out all its expatriate pilots within a year’s time. This could save the company approximately Rs 75 crore annually. The carrier had recently cut down the number of expatriate pilots to 155 from 175. Its total pilots strength at present stands at around 1,400.

    “Training for our pilots to type rate them for the Boeing 777s has been expedited and within a year’s time most of the expatriate pilots should be replaced with Indian commanders,” Air India executive director (corporate communications) Jitender Bhargava said. “But we are also adding new aircraft to our fleet so it might take some more than a year to be replaced.”

    Air India pilots’ union — Indian Pilots’ Guild (IPG) — in a separate letter to the convener of NACIL’s sub-committee for review of performance linked incentives (PLIs) and flying related allowances, has said that the expected cost saving against replacement of expatriate pilots can be to the tune of Rs 75 crore annually. “The CTC of the average expatriate pilot (salary for 21 days plus 5-star accommodation and travel benefits) is phenomenally high compared to the average Indian national pilot, despite Indian pilots being higher on the seniority list,” the letter said. According to the letter, each expatriate pilot earns an average of $13,500 every month for 21 days of work. On its Boeing 777s, Air India currently employs 57 expatriate captains and 125 Indian captains and 136 first officers against 12 expatriate first officers.

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