Air India’s advt circular: Should public service enterprises ask employees to promote brand?

Initially it was decided by a committee formed for Air India’s brand promotion and strategy that officers of senior manager and above pay grade, who claim fuel reimbursements, will have to comply with the directions. Later the requirement spread to all employees.

Air India has already placed an order for around 8,500 stickers and the airline argues that it aims to save money by avoiding the need to print ads again and again. It found that it is financially more viable to use employees to promote their brand and its offerings to the public which is largely unaware of Air India’s services.

The national carrier has been struggling with massive losses for over a decade and current CMD Ashwin Lohani has implemented a slew of measures in collaboration with the government to bring the Maharaja back on track.

The carrier has a total debt burden of over Rs 52,000 crore. Air India posted operating profits for the first time in over a decade in the last fiscal and the operating profit is expected to be in the region of Rs 600-700 crore this fiscal. The management has put strict punitive measures in place for all operational errors or delays. However, this kind of a brand promotion is a first for Air India and any other PSE in the country.