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Old 10th September 2020, 07:44 PM   #1
SQ28
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Default Singapore Airlines Group lays off 2,400 staff; 4,300 jobs cuts

Not entirely unexpected perhaps?

https://sg.news.yahoo.com/singapore-...103601048.html

SINGAPORE — Embattled national carrier Singapore Airlines (SIA) Group on Thursday (10 September) announced that it will cut some 4,300 jobs across its three airlines.

The cuts will result in the layoff of about 2,400 staff from SIA, SilkAir and Scoot in Singapore and overseas stations, after taking into consideration a recruitment freeze, natural attrition and voluntary departures involving some 1,900 staff.

“Discussions have begun with our Singapore-based unions. The Group will work closely with them to finalise the arrangements as soon as possible for those affected, and try to minimise the stress and anxiety on our people,” said SIA in a statement posted on the Singapore Exchange late on Thursday.

SIA said the decision was “taken in light of the long road to recovery for the global airline industry due to the debilitating impact of the COVID-19 pandemic, and the urgent need for the Group’s airlines to adapt to an uncertain future”.

It added that it is in an even more vulnerable position compared with most major airlines in the world as it “does not have a domestic market that will be the first to see a recovery.

“In order to remain viable in this uncertain landscape, the Group’s airlines will operate a smaller fleet for a reduced network compared to their pre-COVID-19 operations in the coming years,” it added.

SIA previously said it expects to operate under half of its capacity at the end of financial year 2020/21 compared with pre-COVID-19 levels. In its statement, the airline also noted that industry groups have forecast that passenger traffic will not return to previous levels until around 2024.

SIA chief executive Goh Choon Phong said the airline’s priorities from the outset of the pandemic were to ensure survival and save as many jobs as possible.

“Having to let go of our valuable and dedicated people is the hardest and most agonising decision that I have had to make in my 30 years with SIA. This is not a reflection of the strengths and capabilities of those who will be affected, but the result of an unprecedented global crisis that has engulfed the airline industry,” said Goh.

He added that the retrenchment process will be conducted “in a fair and respectful manner” and that the company will “do our best to ensure that they receive all the necessary support during this very trying time”.

In his May Day message in April, Prime Minister Lee Hsien Loong said no effort will be spared to ensure that SIA and the aviation sector will see through the current crisis.

“The Government is determined that SIA will see through this crisis,” said he said. “SIA has always flown Singapore's flag high all over the world and made us proud. We will spare no effort to enable it to do so again.”
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Old 11th September 2020, 11:11 AM   #2
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I wouldn’t be shocked to see all the 777’s leave the fleet.
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Old 11th September 2020, 04:41 PM   #3
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I’ll be more shocked if the A380 doesn’t leave the fleet! The writing is on the wall already!
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Old 11th September 2020, 06:18 PM   #4
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Both of those put together makes it sound like the end of F on SQ is near.

Though would there still be demand for the product, even as a Suite?
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Old 12th September 2020, 10:47 AM   #5
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SIA will retire the remaining 773s, but the entire fleet of 773ERs or 77Ws will still remain in its fleet for some many years to come. It's the A380s fleet which will be a headache for SIA as the majority of them will unlikely to fly for the next year until 2012. SIA will likely retire a few of the A380s permanently, and keep a smaller number of "newer" A380s in storage. At the very most we may see just 2 - 4 of the A380s be flying in the 2nd quarter of 2021.
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Old 15th September 2020, 04:59 PM   #6
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Unsurprisingly, the local media has been fairly quiet about pointing out that a significant part of SQ's losses envisaged stem from their fuel hedging. Hedged as far as 5 years into the future which is apparently not the industry norm. Taxpayers' money effectively being used to pay the oil companies.
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Old 15th September 2020, 05:30 PM   #7
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Yes SIA lost some over $700 million just from its fuel hedging and this is not the first time as some years ago, SIA have lost quite alot too. SIA should look into its fuel hedging policy and probably should not hedged for more than a few months and buy from the spot market as it have a bad history and losses from fuel hedging.
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Old 15th September 2020, 05:34 PM   #8
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On the aircraft side, SIA need to reconsider its A380s fleet and to retire some of its earlier built ones and have a reduced fleet as some airlines have done as it seems the 4 engined A380s are inefficient as compared to the newer twins now and it will be hard to fill up the seats in the A380s.
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Old 17th September 2020, 06:14 PM   #9
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Quote:
Originally Posted by flyguy View Post
On the aircraft side, SIA need to reconsider its A380s fleet and to retire some of its earlier built ones and have a reduced fleet as some airlines have done as it seems the 4 engined A380s are inefficient as compared to the newer twins now and it will be hard to fill up the seats in the A380s.
Yes, I think we realise by now that you think SQ should reduce their A380 fleet size.
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