SIA takes further action on staff

Singapore - Singapore Airlines (SIA) has enforced compulsory leave of up to one day a month for all employees as well as a wage freeze for management staff in the current financial year, ending in March 2010.

Weeks ago, more than 1,400 SIA employees volunteered to go on no-pay leave, which was anything from one week to two years. Airline spokesman Stephen Forshaw reports that the majority of the employees were cabin crew who took no-pay leave for periods less than a month.

However, the detrimental decrease in travel spend has left the company no choice but to take further steps to contain costs.

According to a report by Straits Times, the company's senior management is already on the shorter-work-month scheme, and managers will go on it come 1 May. It has been agreed during a discussion with the Singapore Airlines Staff Union and the Airline Executive Staff Union that ground workers and cabin crew are also expected to take on this scheme, possibly on 1 May as well. SIA reports that discussions with the pilots' union are still going on.

The airline says that further measures may need to be taken as flight capacity decreases, should the need arise.