Company cites 'buoyant' air travel, robust demand
Singapore Airlines is giving employees massive bonuses after a second straight year of record earnings, according to reports.
Employees will be given 7.94 months' worth of profit-sharing bonus, according to reports from Channel News Asia and Bloomberg.
This is the highest bonus ever offered in the airline's history, according to the CNA, even exceeding last year's 6.65 months' worth of profit-sharing bonus.
The massive bonus comes after the airline recorded its "highest full year operating and net profits" in history, following robust demand for air travel.
"The demand for air travel remained buoyant throughout FY2023/24, boosted by a rebound in North Asia as China, Hong Kong SAR, Japan, and Taiwan fully reopened their border," the SIA said in a media release.
As a result, group revenue went up $1,238 million, up seven per cent year-on-year, to a record $19,013 million.
Net profit also improved by $518 million, up 24%, to $2,675 million, which the airline attributed to better operating performance, net interest income versus net finance charges a year before, lower tax expense, and a share of profits versus a share of losses of associated companies from the previous year.
Bonuses in Singapore
Rebounding travel demand has delivered major profits for airlines across the world, after COVID-related restrictions hit the industry hard several years ago.
Singapore Airlines had to freeze its hiring of ground positions, temporarily ceased employees' wages, and cut the pay of its senior leaders due to the pandemic.
The airline's major bonus comes as more than eight in 10 employers in Singapore revealed their plans to grant bonuses averaging one month or more in 2023/24.
