SIA says capacity still a challenge as review proceeds

SIA’s CE said that surplus capacity in the industry remains a challenge and the carrier’s focus continues to be on delivering cost-efficient services. The group is in the midst of a review to fend off intensifying competition from Middle Eastern carriers at the premium end and low-cost operators at the budget end. The transformation may include job cuts, the company said in June, and 2 months later it offered its cabin crew 3 months of voluntary unpaid leave. “As we change the way we work the new processes, as new technologies are introduced, some jobs our staff is performing will no longer be required,” CE Goh Choon Phong said Thursday. “Our people fully understand the need for transformation.” The airline said profit almost tripled in the quarter through September, aided by an increase in passenger and cargo traffic. <br/>