Major airline gives staff massive 8-month salary bonus after huge annual profits
Some Singapore Airlines staff are about to get a massive bump to their salaries after the carrier recently reported huge annual profits.
After a turbulent time for traffic and earnings during the pandemic, the company came out on top, making an annual net income of $1.6 billion, reported Bloomberg. Apparently, that’s the most it has made in its 76-year history.
And these profits will trickle down to its employees thanks to “a long-standing annual profit-sharing bonus formula that has been agreed with our staff unions,” a Singapore Airlines spokesperson told Insider.
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Eligible staff will receive a huge bonus of more than eight months’ salary overall.
Here’s the breakdown of the salary bonus.
Eligible Singapore Airlines employees will get a bonus of 6.65 months based on the record-breaking profits it made last year.
They will also get an additional 1.5 months’ salary, or half a month for each of the last three years, as an extra bonus. This will not be given to senior management, reported Bloomberg.
The spokesperson for the carrier told Insider that the gesture is “in recognition of our employees’ dedication, hard work, and sacrifices, including pay cuts during the pandemic.”
Singapore Airlines pilots agreed to take pay cuts of up to 60% in September 2020. The deal saved about 400 jobs, reported a Singaporean newspaper.
The major carrier took a hard hit during the pandemic. It reported a loss of $2.75 billion between 2020 and 2022, reported Bloomberg.
Fortunately, things were looking good by March this year, as the company says it saw passenger capacity back up to 79% of pre-COVID levels.
Singapore Airlines isn’t the only major carrier to do this. Emirates also recently announced they would be giving staff six months’ worth of salary bonuses after making $2.9 billion in profits.
The same can’t be said for Canadian airlines. WestJet just reached a contract deal with its pilots avoiding a strike after months of negotiations.
Despite Air Canada’s sky-high Q1 revenue, there’s no indication that the airline will be paying this forward to its employees. But itsĀ CEO got a whopping 233% pay increase in 2022.
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