Faced with ongoing drop in load factors, excess capacity and falling yields, Singapore Airlines (SIA) has started preliminary talks to get its passenger plane pilots to take voluntary no-pay leave. This follows the recent agreement with 25 of its cargo pilots who voluntarily will go on no-pay leave for up to 30 months, with up to 25 more cargo pilots expected to be asked to also opt for the scheme.
This comes as the airline prepares to slash up to 11 per cent of capacity by grounding 17 planes (about 15 per cent of its fleet), cutting routes and consolidating services in the face of the sharpest slump in air travel demand in its history.
Last month, SIA’s chief executive Chew Choon Seng said the airline was taking various measures in order to avoid retrenchments.
“We have already taken action such as expanding and stepping up training and retraining programmes, and we will contemplate retrenchment only as a last resort,†he said.