Singapore Airlines pays 8 months' salary to staff after record profit

Singapore Airlines is set to award certain employees a substantial bonus exceeding eight months’ salary, following its most profitable year in its 76-year history, as reported by Bloomberg. Eligible employees will receive a bonus equivalent to 6.65 months’ salary, reflecting Singapore Airlines’ remarkable financial performance in the previous fiscal year. In addition, there is a supplementary bonus of up to 1.5 months’ salary, with half a month’s pay granted for each of the past 3 years. However, this extra bonus will not be provided to senior management. An airline spokesperson told Business Insider that this gesture of goodwill is a way to acknowledge and appreciate the dedication, hard work, and sacrifices made by their employees, including enduring pay cuts throughout the pandemic. The spokesperson said that this bonus is a result of a well-established annual profit-sharing bonus arrangement with staff unions. The group, which includes budget airline Scoot, recorded a net income of $1.6 billion (over Rs 13,000 crore) annually. According to a Singaporean newspaper, Today, in September 2020, the airline’s pilots consented to salary reductions of up to 60 percent as part of an agreement that preserved approximately 400 jobs. Bloomberg reported that Singapore Airlines incurred losses amounting to $2.75 billion across the financial years of 2020 to 2022 due to the impact of COVID-19 on the aviation industry. However, as of March this year, the airline group stated that its passenger capacity had rebounded to 79 percent of the levels seen before the pandemic. The statement highlighted that the exceptional financial results achieved by the SIA Group in the fiscal year 2022/23 serve as evidence of its proactive strategic efforts, prior preparations made during border closures, and the unwavering commitment, devotion, and sacrifices of its workforce. Singapore Air reported on Monday that it carried 1.75 million passengers in April, reflecting a 53 percent increase compared to the corresponding month in the previous year. In contrast, Cathay Pacific Airways Ltd., its Hong Kong rival, still has a significant distance to cover to reach similar levels, as its revenue from the previous year remains only around half of the pre-pandemic levels. Read all the Latest News, Trending News, Cricket News, Bollywood News, India News and Entertainment News here. Follow us on Facebook, Twitter and Instagram.