Singapore Airlines’ Record Profit and Employee Bonuses
Singapore Airlines, the city-state carrier, achieved a remarkable milestone by delivering a record S$2.67 billion ($1.98 billion) annual profit in the fiscal year 2023-2024. This accomplishment has set a new benchmark in the aviation sector.
Bonuses for Employees
Following its second consecutive annual profit, Singapore Airlines has decided to reward its employees with a bonus payout equivalent to almost eight months of salary. This generous gesture aims to acknowledge the hard work and dedication of the staff.
Similar to the experience of Emirates employees, who are reportedly receiving a five-month bonus after the Gulf carrier recorded an annual profit of $5.1 billion, Singapore Airlines is demonstrating its commitment to recognizing and rewarding its workforce.
Understanding the Eight-Month Bonus
The bonus payout of nearly eight months’ salary signifies a significant increase compared to the previous year’s earnings. In the previous year, employees received a profit-sharing bonus equivalent to 6.65 months’ pay, along with a maximum of 1.5 months’ salary as an ex-gratia bonus related to the pandemic.
Financial Performance and Future Outlook
Singapore Airlines’ annual profit of S$2.67 billion reflects a 24% increase from the previous year, as reported in an exchange filing. The airline remains optimistic about the future, citing strong demand for flights, a stable cargo sector, and effective strategies to navigate challenges such as competitive pressures, higher costs, geopolitical tensions, and economic uncertainties.
Pandemic Recovery and Growth
Benefiting from a swift reopening as Covid travel restrictions eased, Singapore Airlines has witnessed a rapid recovery in passenger volumes, reaching approximately 97% of pre-pandemic levels in March. The company’s resilience and adaptability have contributed to its success in navigating the challenges posed by the pandemic.
Shares in Singapore Airlines rose by 0.4% on Thursday, bringing year-to-date gains to 4.3%, according to a Bloomberg tracker.
