Air India pays compensation to nearly two-thirds of June 12 crash victims’ families
The crash of an Air India Boeing 787-8 Dreamliner operating as flight AI171 from Ahmedabad to London Gatwick killed 260 people — 241 of the 242 passengers and crew onboard.
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Air India said Friday it has disbursed interim compensation to the families of nearly two-thirds of those who died in the devastating June 12 plane crash in Ahmedabad.
The crash of an Air India Boeing 787-8 Dreamliner operating as flight AI171 from Ahmedabad to London Gatwick killed 260 people — 241 of the 242 passengers and crew onboard, plus additional casualties on the ground. It was one of India’s worst air disasters in decades.
Air India CEO and Managing Director Campbell Wilson, in an internal communication to employees, said, “Our teams have been helping families receive interim compensation. Every affected family is being directly assisted by an Air India representative, with nearly two-thirds having already received payment or are in the final stages.”
Soon after the crash, Air India’s parent Tata Sons announced it would provide ₹1 crore (approximately GBP 86,000) to the family of each deceased victim. On June 14, Air India also announced an interim compensation of ₹25 lakh (about GBP 21,500) to help families and survivors meet immediate financial needs.
Wilson confirmed that Air India maintains an on-ground presence in Ahmedabad to support this process "for as long as required."
“The process of reuniting next of kin with their loved ones, and repatriating them to their final destinations, is now complete,” he added.
He also said Tata Sons is setting up a framework to offer longer-term assistance to families and survivors, with further details to be shared in due course.
The crash prompted Air India to implement a “Safety Pause,” a temporary reduction in its domestic and international network to conduct voluntary additional aircraft checks and stabilize flight schedules.
“The ‘pause’ was an important and necessary move to accommodate voluntary additional aircraft checks, navigate the volatile international airspace environment and to stabilise our flight schedule to restore faith and trust,” Wilson wrote.
Air India announced on June 18 it would reduce international flights operated with widebody aircraft by 15% until mid-July, citing safety inspections and geopolitical concerns.
Wilson acknowledged that this move placed added pressure on frontline staff in call centres and airports, while also disrupting crew rosters. He stressed that the reduced flight schedule would also allow the airline to accelerate its aircraft reliability enhancement programs.
“Irrespective of any cause, the accident of AI171 and the loss of so many lives will forever stand as one of our darkest days. It must also signal the start of a new era,” Wilson said.
He reaffirmed Air India’s commitment to continuing investment in aircraft, products, service, systems, capabilities — and, most of all, people.
