Air India has identified widespread misuse of its employee travel benefit programme after a detailed internal audit found thousands of staff had violated company rules. The investigation has led the airline to begin recovery actions and tighten oversight of the scheme.
The irregularities were uncovered during a review of the Employee Leisure Travel programme, a benefit that allows airline staff to access complimentary travel vouchers. These vouchers can be used by employees or by specific family members listed under the scheme.
During the audit, the airline discovered that more than 4,000 employees had breached the eligibility guidelines. In several cases, individuals were reportedly listed as family members despite having no legitimate relationship with the employee. The review also revealed instances where travel vouchers were allegedly transferred or sold to outside parties.
Following the findings, the airline has started disciplinary and corrective measures. Employees found to have misused the scheme have been asked to reimburse the value of the travel benefits they obtained improperly. In some situations, penalties have also been imposed.
The travel benefit programme allows employees to use up to 14 flight segments or equivalent round-trip vouchers during a financial year. However, the audit suggested that a significant number of claims made under the programme did not comply with the eligibility conditions. The irregularities are believed to have occurred over the previous financial year, though the overall financial impact has not been disclosed.
The development comes at a time when the airline is undergoing a broad organisational transformation under the ownership of the Tata Group, which acquired Air India in 2022. As part of its restructuring efforts, the carrier has been focusing on improving governance practices and strengthening operational systems.
In response to the audit findings, the airline has introduced stricter verification procedures for the travel benefit programme. Employees must now submit detailed beneficiary information along with documents confirming the family relationship before the vouchers can be approved. The airline has also enhanced internal monitoring to prevent similar misuse in the future.
