Natarajan Chandrasekaran, the Tata Sons chairman who oversaw Air India’s return to Tata ownership, announced on Wednesday that he will step down when his current term concludes on February 20, 2027. His decision follows a prolonged period of uncertainty regarding his potential reappointment to the position.
The situation at Tata Sons has been marked by internal disagreement over Chandrasekaran’s future. Both the Sir Dorabji Tata Trust and the Sir Ratan Tata Trust had recommended extending his tenure by five years. However, when the reappointment proposal reached the Tata Sons board on February 24, it failed to achieve unanimous approval among board members. After six months without resolution to the dispute, Chandrasekaran opted to end the stalemate by declining to pursue another term and requested that the board commence the succession planning process.
The timing of Chandrasekaran’s departure carries significant implications for Air India, which currently operates under Tata Sons’ ownership. The airline is contending with substantial financial losses—reportedly the largest since returning to Tata control—and has recently installed new leadership. Additionally, Air India has extended its planned turnaround timeline considerably beyond earlier projections, indicating the magnitude of challenges facing the carrier.
The transition at Tata Sons’ helm occurs as the conglomerate navigates leadership changes across multiple entities. Reports indicate that the board member who opposed Chandrasekaran’s reappointment was identified as Noel Tata, who holds a chair position within the organization. The leadership vacuum created by Chandrasekaran’s planned departure will require the board to identify and evaluate potential successors capable of managing Tata’s portfolio during a period of significant operational and financial challenges at Air India.
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