Ahead of Air India disinvestment, the Indian Government is exploring ways to absorb its employees in public sector enterprises. Voluntarily retirement options are also to be considered.

A group of ministers is working on weighing options in an effort to ensure smooth strategic disinvestment. The Foreign Direct Investment aimed at reviving the airlines' debt burden of Rs 50,000 crore is allowed at 49%, including foreign airlines.

Air India has a total of 29,00 employees including those of its subsidiaries and those on contract-basis. Various Air India unions are opposing the disinvestment decision. It has also been opposed by the Centre of Indian Trade Unions (CITU) and RSS-affiliated Swadeshi Jagaran Manch.

The government has said that "Substantial ownership and effective control of Air India shall continue to be vested in an Indian national."