New Delhi, May 8 -- Air India will defer employee annual increments by at least one quarter as part of broader cost-rationalising measures driven by an uncertain economic environment, its senior executives told employees at a townhall on Friday.

The airline does not anticipate layoffs, chief human resources officer Ravindra Kumar GP said.

The announcement was made at a meeting addressed by Air India chief executive officer Campbell Wilson, alongside Kumar and chief finance officer Sanjay Sharma.

"We will continue to pay the performance-related variable pay for last year, that's decided - the increment for this year we will defer. We will consider as the environment evolves over the course of the year if and when we can pay it. We have ...