SIA ends MVC pay cuts for S'pore-based staff from Aug 1, CAG to restore wages next month

Singapore Airlines (SIA) has reinstated the monthly variable component to the basic salary of all its Singapore-based staff since Aug 1, while Changi Airport Group will restore wages for all its employees – up to those in middle management – next month. The national carrier had implemented the pay cuts as part of staff measures to cut expenditures last March. CAG introduced the base salary cuts in April last year. In a statement on Friday, it said it will retain pay cuts of up to 30% for senior management. CAG added that the wage restoration is a recognition of the resilience demonstrated by its employees. Separately, SIA said additional pay cuts for pilots remain in place, as per an agreement with the Air Line Pilots Association – Singapore union last year to mitigate further job losses for pilots. SIA's senior management also continue to take additional pay cuts to their basic salary - 15% for senior vice-presidents, 20% for executive vice-presidents and 25% for the CE. Board members will continue taking a 30% cut in fees in solidarity with the management, the airline noted. A staff circular issued by SIA CEO Goh Choon Phong on Wednesday stated that the ending of the full MVC cut of basic salary for Singapore-based staff is applicable for the remainder of the financial year, from August 2021 to March 2022. Additional pay cuts for managers up to divisional vice-presidents will also cease, he said. The cessation of some of the wage cuts from August is a "recognition of the prolonged sacrifices" that staff have made, Goh said. "Many uncertainties remain ahead, and the competition will be stiff in the new normal. We must continue to maintain a tight lid on costs, while being nimble and agile to grab all revenue and growth opportunities in the market," he added.<br/>