According to a report, Singapore Airlines will give a huge incentive to its frontline staff that might equal up to eight months of basic pay. The announcement was made just one day after the airline announced a record yearly profit of S$2.16 billion ($1.62 billion) as a result of strong post-pandemic travel demand.
Employees will be rewarded for their efforts and sacrifices during the pandemic with a profit-sharing incentive equal to 6.65 months’ pay and an additional ex-gratia bonus worth up to 1.5 months’ basic wage.
A Singaporean newspaper said that in September 2020, its pilots consented to wage reductions of up to 60% in exchange for a settlement that preserved roughly 400 jobs.
Bloomberg estimated that Singapore Airlines suffered losses of $2.75 billion over the 2020–2022 fiscal years because of COVID–19’s impact on the sector. Despite the fact that passenger capacity has only increased to 79% of pre-pandemic levels so far, a record-breaking profit was made through strong yields and rates as well as the highest average passenger load factor in the group’s history of 85.8%.
Singapore Airlines reports that forward sales “remain healthy” across all cabin classes, which is now being aided by a “strong pick up” in reservations for travel to China, Japan, and South Korea.