Gather all ingredients.
Process croutons in a food processor until finely crumbled, about 8 pulses.
Prepare dredging station. Stir together croutons, breadcrumbs, Parmesan cheese, lemon pepper, oregano, mustard, garlic powder, onion powder, and cayenne in a shallow bowl. Whisk together Caesar dressing and milk until smooth in a separate shallow bowl. Set aside.
Preheat the air fryer to 390 degrees F for 2 minutes (200 degrees C). Lightly coat the air fryer basket with cooking spray.
Working with 1 cutlet at a time, fully submerge each cutlet into dressing mixture, shaking off excess. Dredge cutlets in crouton mixture, pressing firmly until evenly coated on both sides. Place on a plate in an even layer.
Working in batches, add 2 cutlets to basket in one even layer, and cook until golden brown and cooked through, 10 to 12 minutes, flipping halfway through.
Transfer to a serving platter, and repeat with remaining cutlets. Serve with additional Parmesan cheese and dressing.
