Pilots face unpaid leave as SIA grounds 15pc of fleet

SINGAPORE Airlines (SIA) is engaging in discussions with its passenger aircraft pilots to persuade them to take voluntary unpaid leave.

This comes as the airline prepares to cut up to 11 per cent of capacity by grounding 17 planes (about 15 per cent of its fleet), cutting routes and consolidating services amid a drastic drop in demand globally for aviation services.

Over the past couple of months, the airline has been engaging its three main unions - the SIA Staff Union, Airline Pilots' Association and Airline Executive Union - to work out measures to accelerate the clearance of leave entitlements, voluntary leave without pay, voluntary early retirement and shorter work months, reports the Singapore Business Times.

It said that the airline has recently received agreement for 25 of its 300 air freighter pilots to volunteer to go on unpaid leave for up to 30 months. A further 25 cargo pilots may be asked to agree to unpaid leave.

We will be acting as best as we can to preserve the jobs and skills of our pilots, but sacrifices will be needed, said airline spokesman Stephen Forshaw.

"The issues which arise will not be easy and there may not be unanimity on all the points. But we all know the task ahead of us is to respond to this downturn."

International air passenger traffic declined for a fifth straight month in January, with Asia Pacific carriers suffering the sharpest falls. Worldwide passenger numbers dropped 5.6 per cent in January, after a 4.6 per cent decline in December 2008. Asian carriers were said to have led the fall in passenger numbers, with an 8.4 per cent year on year decrease in January.

SIA's own January passenger load factor fell to 74.1 per cent, from an average of about 78 per cent in the October-December 2008 quarter. Its cargo load factor was 54.2 per cent, which the report said is well below the breakeven point.

Source: Transportweekly