Air India board meets in Mumbai as Tewolde Gebremariam set to take charge, new CEO's salary structure in focus

Air India's board of directors is meeting in Mumbai on Tuesday as the airline prepares for a change at the top, with former Ethiopian Airlines Group chief Tewolde Gebremariam expected to formally take charge later this month, PTI reported.

The board meeting, chaired by N Chandrasekaran, chairman of Tata Sons, is expected to discuss various matters, including the salary structure of the incoming CEO, according to sources cited by PTI.

Campbell Wilson, Air India's managing director and CEO, is set to step down from his role this month.

Chandrasekaran, Wilson, Gebremariam at Bombay House

Chandrasekaran, Wilson and Gebremariam were among those seen walking into Bombay House, the Tata Group's headquarters in Mumbai.

Apart from Chandrasekaran and Wilson, Air India's board has five other members. Sanjiv Mehta, Alice G Vaidyan and P R Ramesh are independent directors, while P B Balaji and Goh Choon Phong are non-executive, non-independent directors.

According to reports, the board members would also thank Wilson for his contributions to the airline. He has led Air India and its ambitious transformation plan since July 2022.

Air India faces multiple challenges

The loss-making airline has been grappling with several challenges, including the fatal AI171 accident in June last year that killed 260 people, geopolitical disruptions, airspace closures, fuel price volatility and various operational issues.

What Gebremariam told Air India staff

On September 7, Gebremariam, in his first address to Air India employees during a townhall, said: "We will Make Air India Great Again (MAGA)."

He sought the support and cooperation of employees and called for minimising disruptions, while emphasising that operational excellence is about getting the basics right every day.

At the townhall, Chandrasekaran stressed the need to focus on safety and build a stronger culture of cost consciousness.

Tata Group took over Air India from the government in January 2022. Singapore Airlines later acquired a 25.1% stake in the airline.

Why Air India chose Tewolde Gebremariam

An earlier report by Mint mentioned that Gebremariam was chosen in part for his experience running Ethiopian Airlines, where he oversaw a rapid expansion of the carrier's fleet, network and revenues and helped develop Addis Ababa into a major international hub.

Since taking over, the Tata Group is spending heavily on its fleet. Aircraft are being refurbished while new planes are being inducted to expand its network. More than 100 aircraft are expected to join the Air India group in 2027 and 2028.

Talking to media persons outside the meeting venue, Campbell Wilson termed Air India and India to be a wonderful experience.