Air India to Cut Costs, Reduce Flights as War Worsens Financial Struggles

Air India Ltd. is looking to implement measures to cut costs and reduce flights in the wake of the Iran war, people familiar with the matter said, just as the unprofitable airline searches for a new leader to navigate an exceptionally difficult period.

Among the measures discussed in a board meeting on Thursday were furloughing nontechnical employees and cutting flight capacity by over 20% for the next three months unless the situation improves, said people with knowledge of the matter who did not want to be identified as the discussions are private.