SIA implements no pay leave

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Singapore Airlines (SIA) yesterday implemented compulsory leave for management, on 1 May it plans to do the same for other staff and it has warned it may take even tougher measures in response to the economic downturn.

The Star Alliance carrier says in a statement that management staff must now take one day off a month, either as annual leave or no pay leave, with effect from 1 April.

It also says other staff will be required to take one day off a month with effect from 1 May.

This too can be in the form of annual leave or no pay leave. But for pilots and cabin crew it will have to be no pay leave because the 11% capacity cuts, announced for this fiscal year, means it now has too many pilots and cabin crew, says SIA.

"The airline cannot rule out further measures to contain costs if the downturn worsens," it says, without elaborating.

SIA says it has in-principle approval from the Airline Executive Union as well as the Singapore Airlines Staff Union representing ground and cabin staff.

But it is still in negotiations with the Airline Pilots Association, it adds.