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SIA pilots stand its grounds....MOM to help !

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Old 5th Jun 2003, 10:12
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Wink SIA pilots stand its grounds....MOM to help !...Now its up to Dad !

Hello,

In the mail this evening came this report...with a tongue in cheek comment: " Looks like another matter for MOM to rule on.The situation here is comparable to our kids quarrelling,with one running to mom for a resolution ! Hope that DAD does'nt get called in too ! :>P "


Have a pleasant evening


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http://straitstimes.asia1.com.sg/top...92929,00.html?

5 June 2003

Pilots' dispute: SIA asks ministry to help

Management turns to mediation a day after wage-cut talks stall; pilots' union hopes third party can offer 'new insights'

By Rebecca Lee

SINGAPORE Airlines (SIA) yesterday asked the Ministry of Manpower (MOM) to step in and mediate in its dispute with pilots over proposed wage cuts.


" THE TALKS: Sticking points
SIA wants the pilots to take a permanent wage cut of between 15 per cent and 22.5 per cent, and between 10 and 12 days of unpaid leave every two months, as part of cost-cutting measures following the Sars outbreak. Alpa-S, which represents 1,600 pilots, has counter-proposed that the pilots take one week of unpaid leave every month. It also said it would not accept a permanent wage cut and wants the company to separate the immediate task of stemming losses from the longer-term issue of wage restructuring. "


The request signals that talks have broken down and places negotiations one step away from arbitration.

SIA said the Air Line Pilots Association Singapore (Alpa-S), had been told of the request, which comes a day after talks with the union stalled.

'The company hopes that the issues can be resolved quickly through conciliation,' the airline said.

Alpa-S spokesman P. James told The Straits Times that the union was agreeable to having the MOM sit in on talks, which have been scheduled for Friday afternoon.

'We are fine with it and hopefully with a third party looking at the issues, we may see some new insights,' Captain James said.

This will be the second time in 10 months that the MOM has stepped in to resolve a dispute between SIA and its pilots who, in August last year, were planning to take industrial action when asked to take meal and rest breaks in economy-class seats instead of business class.

This time, SIA wants the pilots to take a permanent wage cut of between 15 per cent and 22.5 per cent, and 10 to 12 days of unpaid leave every two months, as part of cost-cutting measures following the Sars outbreak.

Alpa-S, which represents 1,600 pilots, counter-proposed at Tuesday's talks that the pilots take one week of unpaid leave every month.

That, it said, would achieve SIA's desired 25 per cent cost reduction straight away.

The union also said it would not accept a permanent wage cut and wants the company to separate the immediate task of stemming losses from the longer-term issue of wage restructuring.

SIA, which lost $204 million in April and is expected to make a
first-quarter loss, also said yesterday that negotiations with the other four staff unions in the group 'on wage cuts and other cost-saving measures are progressing'.

It wants non-management staff to take a 15 per cent permanent wage cut.

The group's managerial staff took pay cuts of between 22.5 per cent 27.5 per cent from this month.

Last edited by aviator_38; 10th Jun 2003 at 08:52.
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Old 5th Jun 2003, 15:09
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Its really more like this:

Kids arguing with big brother - no resolution.
Goes to Mom - no resolution.
Goes to Dad.
He beats his chest, froths at the mouth, implies all hell will be let loose.
Resolution obtained!

The point is, its all the same family.
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Old 5th Jun 2003, 19:00
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Huh.....

MOM to intervene in the dispute. It is stupidity to think that a branch of Leepublic of Singapore private limited is going to listen to the plight of the employees i.e. Pilots. The MOM is gonna favour the SIA, management of SIA knows very well that is why even on a drop of hat SIA runs to the MOM for mediation. This is another way of legalising their misdeeds. So boys get ready for the legalised shafting.

Bullying is viewed very seriously in Singapore, if its by the employees, however legalised bullying is authorised and practiced here openly.

22.5% permanent Pay cut further to add to taste 20% days in a month No Pay Leave, WOW... SARS.... what an opprtunity for an airline to make money. How can SIA miss it. The wheel chair generals are enjoying like Dracula, how can they allow the hunt go unhunted.
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Old 5th Jun 2003, 22:10
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Talking What SARS really stands for!!!!!!!!!!!!

SARS ----- Singapore Airlines Retrenchment Scheme
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Old 5th Jun 2003, 22:51
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Wink

No, No, No!!!

It's actually an ARS with an Ass in front.
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Old 6th Jun 2003, 05:48
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SARS Singapore Airlines Reduced Salary. with MOM being used as the Governments tool to legalise this theft.
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Old 8th Jun 2003, 00:15
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Moonraker2003........and millerscourt .....

You guys are absolutely right as far as what the SARS stands for these days in Singapore.

However, I would like to disagree with the Millerscourt's remark that its a theft with the consent of the MOM.

No No No, My friend it is a very well organised "DAY LIGHT ROBBERY" wherein the government of the republic is Chief Dacoit and its members the major beneficiaries of the loot.

see its very simple, these people in high places in the island have huge investments in the form SIA shares, so to avoid huge personal losses they have no one to rob except the pilots, other employees are just asked for donations which they have to agree unwillingly

Cheers!!!!!!!!!!!!!!
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Old 10th Jun 2003, 08:18
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BREAKING NEWS.............

SIA and its Pilots' dispute goes the expected way, I mean it goes to the Industrial Arbitration Court. It is known to everyone that how notorious Singapore courts are? They are famous for fining people, its to be seen that how muxh fine in terms of pay cut will be imposed on the errant pilots of SIA

I think now SIA is not talking about the No Pay Leave, its only talking about the permanent pay cut of 22.5% for ever. Yes, if pilots agree to this pay cut and the airline makes SGD 700 millions in profit than the SIA will give its pilots a one time ex-gratia payment, please note even after this kind of profit the pay cut is not going to be restored. What a shameless people who run this company....Can you imagine.

The decision of the court will be binding on the pilots......poor fellows. A good old saying "If the rape can't be avoided might as well enjoy it" So guys get ready to get raped by the SIA..

CHEERS !!!!!!!!
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Old 10th Jun 2003, 08:47
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" Dad Help! MOM's not helping!" ( ':P')

Hi Folks,

Here's the latest newsreport on the matter.Friend says : " Looks like Dad is finally getting to rule on the matter.The result seems to observers-see the news report- to be a foregone conclusion...". Hmmmm!


Have a pleasant evening


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http://straitstimes.asia1.com.sg/sto...93825,00.html?

JUNE 10, 2003
Now arbitration court to rule on SIA pay-cut row
Ministry's help not enough to get airline and pilots to settle dispute; both sides agree to give industrial court final say

By Rebecca Lee
TRANSPORT REPORTER

The wage dispute between Singapore Airlines (SIA) and its pilots will go before the Industrial Arbitration Court, whose decision will be final and legally binding..

The parties are going for arbitration after four meetings over two weeks, and despite efforts by the Manpower Ministry to help at meetings held yesterday and on June 6.

'Despite efforts by the ministry to reach a negotiated settlement... no agreement could be reached as there was too wide a gap in the positions between the two parties,' the ministry said yesterday.

It advised them 'to resolve their differences through the process of arbitration', and SIA has agreed, citing the urgent need to resolve the matter.

At the heart of the disagreement is the quantum of the wage cut and the lump-sum payment offered to the pilots to make up for it, the ministry said.

'Given the severe business conditions affecting the company and the need to restructure wages to remain cost competitive, SIA felt strongly that it needed to urgently implement cost-cutting measures,' it added.

The airline lost $204 million in April as the Sars outbreak put people off travelling, and is expecting to make a first-quarter loss.

To stay viable and competitive, SIA wants, among other things, to reduce the basic wage of its captains by 22.5 per cent and the first officers, 15 per cent.

In response to the pilots' proposal that the cut be restored when business picks up, SIA offered a one-off payment if profits reach at least $700 million this financial year, ending March 31, 2004.

The Air Line Pilots' Association Singapore (Alpa-S), which represents 1,600 of SIA's 1,800 pilots, said the pay cut was too severe when coupled with the proposed implementation of between 10 and 12 days of no-pay leave every two months.

It wants a captain's basic pay cut by 12 per cent with six days of no-pay leave and first officers to get 7 per cent less with five days of no-pay leave.

On the one-off payment, it wants the profit level lowered to $350 million, the ministry said.

Alpa-S honorary secretary S. Sutharsanan told The Straits Times that SIA also could not assure pilots there would be no retrenchments.

It might still have to lay off 2 to 5 per cent of the pilots, he said. 'If after all these measures, the company cannot save jobs for our pilots, then there is no point,' he added.

SIA spokesman Rick Clements said with the move to the arbitration court, there was 'nothing more to add'.

The court is likely to use the recent National Wages Council recommendation as the basis for its decision. The council has, among other things, urged companies facing stiff competition and reduced profits to restructure their wages immediately, by moving away from fixed and seniority-based wages to one based on productivity and profit-sharing bonuses.

The airline industry is likely to fall in this category as airlines worldwide, facing losses, have shed some 100,000 jobs.

British Airways has shed 10,000 jobs and is looking at dropping another 3,000. Germany's Lufthansa has cut the work of its ground staff by 1.5 hours a week, to save up to US$20 million (S$34.7 million) a year.

Meanwhile, in Singapore, stock market analysts such as UOB Kay Hian's Peggy Mak welcomed the latest SIA development. 'With the Government's involvement, the wage cuts will likely be implemented,' she said.

SIA's shares yesterday closed 20 cents higher, at $10.70, with almost 1.8 million shares changing hands.
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Old 10th Jun 2003, 17:18
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Strait Lies, 10.06.03

“The court (Industrial Arbitration Court, Singapore) is likely to use the recent National Wages Council recommendation as the basis for its decision (when it inevitably finds against Alpa-s in the current tussle with SIA over pay cuts). The council has, amongst other things, urged companies facing stiff competition and reduced profits to restructure their wages immediately, by moving away from fixed and seniority-based wages (structures) to one(s) based on productivity and profit-sharing bonuses.”

Unless I’ve missed some fundamental point here, I understood that before the current SARS shock horror, the airline was certainly holding its own in the international league table of comparative profitability (surely always the world’s most profitable airline – over S$1 bn profit this fiscal year, as usual?). I am similarly unaware of any fundamental change in the salary cost base of the major international competitors to SIA (I don’t count such drops in the ocean as Lufthansa’s much quoted 1.5 hour per week work reduction for ground staff or the fiddling around the edges by BA in its staff reduction programme – that airline still has the same number of pilots, engineers, pax services people).

I also understand that just about every other airline which could conceivably be considered as providing competition to SIA has also taken financial hits of varying magnitudes, during the East Asian SARS epidemic, without resorting to threats of wage cuts on their staff, merely shrugging them off as part of the spectrum of business risk and funding them from reserves. – Why is SIA supposed to be so different? – Surely it can’t have suffered more of a “SARS loss” than Cathay, China Southern, China Airlines, Eva, etc?

So why suddenly the big rush to restructure the long term salary cost base on the basis of unrevealed financial information and ahead of the up-coming CA negotiations in November 2003? And please, no one say because of the “desperate” current situation.

Colleagues of jaundiced and cynical outlook, at counterpoint, incidentally to my own sunny, happy and trusting disposition since coming to Singapore, tell me that the manoeuvres by SIA, MoM and IAG are inspired by the inner circle of government here and are designed to claw back the salary gains, heroically achieved a couple of years ago by Alpa-s, hence insulating the major shareholder of SIA – Taemasek Holdings (prop Singapore Government) – from any major financial pain. I do not believe such a baseless calumny. Surely the Government has the best interest of its people at heart?

Finally, and again I may have missed a major and similarly fundamental point, but last time I checked, my remuneration from SIA was based on “productivity and profit-sharing bonuses.” as part of an overall package that also includes an element of “fixed and seniority-based” payment. Specifically, hourly flying pay and meal allowances of a seventy hour month (x 10 months) provides circa 19% of total salary (productivity) whilst a “normal” bonus (3 x monthly basic salary) provides approximately 14%. A seniority increment provides a further 5%, whilst my fixed monthly salary (including 13th month) accounts for 62% of total remuneration. Hence a third of my total remuneration is currently based on the NWC ideology, envisioned in place on the sunlit elysian uplands of pay, ideally and perhaps exclusively, by “productivity and profit-sharing bonuses.” What, therefore, does the NWC consider to be a reasonable proportion of remuneration so to be paid and what is the percentage of salaries so paid by other major companies in Singapore? Details have been a little fuzzy of late.
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Old 14th Jun 2003, 14:27
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Question Just curious

Are SIA proposing that all pilots, (including the OSB ones), take this pay cut or just the Singapore based ones? Can't see why the BA retirees would bother coming to work for so much less.
 
Old 14th Jun 2003, 15:22
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highcirrus

Excellent post. You are bang on. The existing SIA pilots wage package satisfies the requirements of the proposed "wage reform" policy already with the possible exception of some very long service Captains getting more than 1.5 times new Captains basic. Perhaps the Straits Times might be encouraged to point out those areas in which the present CA fails to satisfy the new policy.

Is it true that if a new pay rate is in place before 1st July the bonus for last year can be paid based on the new rate? Answers please from all those small print readers out there.

Could this have something to do with SIA's enthusiasm for an early settlement in their favour?

When the arbitration has been finalised does that mean that the requirement to reach a new Collective agreement by 14 December is simply ignored?

Sounds like SIA needs a new set of "Core Values". Suggestions on a postcard to the Straits Times!
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Old 15th Jun 2003, 22:34
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wotwazat

This is absolutely true that if SIA can force its pilots take the pay cut before 30th June then the bonus on 7th July will be paid on the reduced salary. Bonus here is always paid on the 30th June salary.

As far as the collective agreement is concerned, with permanently reduced pay the CA will have nothing much to offer in November, may be SIA will agree to some new formulas to decide the bonus in future, again here in Lee's land this will again favour the Tamasek Holdings...........

Permanent Pay cuts, No Pay Leave and retrenchment of about 40 to 80 pilots on the cards, future looks bleak here my friend.
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Old 15th Jun 2003, 23:03
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Twitchy In a few years time SIA will be back in Flight International on a weekly basis as before looking for 'Commanders' and Pilots will be back being owed 3 Years leave as before!!
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Old 15th Jun 2003, 23:18
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Hey Guys latest is.....................

SARS = Singapore's Asshole Retrenchment Scheme

MILLERSCOURT,

I agree with you about SIA rserving inside back page of FLIGHT Internation in the months to come. I only hope in future there should be no mad rush to join SIA. The situation post 911 has spoilt the minds of this airline and SIA feels that on 1 advertisement in the media there will be thousands of asshole applying for the job here. Lets hope its not true in future.

MILLERSCOURT,

I agree with you about SIA rserving inside back page of FLIGHT Internation in the months to come. I only hope in future there should be no mad rush to join SIA. The situation post 911 has spoilt the minds of this airline and SIA feels that on 1 advertisement in the media there will be thousands of assholes applying for the job here. Lets hope its not true in future.

MILLERSCOURT,

I agree with you about SIA rserving inside back page of FLIGHT Internation in the months to come. I only hope in future there should be no mad rush to join SIA. The situation post 911 has spoilt the minds of this airline and SIA feels that on 1 advertisement in the media there will be thousands of assholes applying for the job here. Lets hope its not true in future.
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Old 16th Jun 2003, 02:52
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twitchy

This time round was told that the bonus will be based on previous pay. As mentioned by the horrific near-hairless disgusting lying botak prick to his managers... At least that's what been told by one of them. And the same person assured RIOTs in ALH and STC if this is not the case. The same group of people have been crossing their fingers in hoping that we win this battle of wage reform.. Sign.. Guess that's all the help we gonna get from other groups huh.. silent prayers....

Last but not least, I must admit that I won't believe any of it till I see the actual figure on the 5thJuly..
Fly safe and rgds,
Cpt744
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Old 17th Jun 2003, 15:40
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These savage paycuts that will be forced through using the MOM are only to save a maximum of $200 Million pa along with other economies,whereas in the last financial year SIA wrote off $300 Million through the just retired CEO,s wrecklessness for which HE should have been fired.
Also in Virgin Atlantic 49% owned by SIA who have not made an overall profit since this shareholding are in negotiation with their Pilots for a Payrise!!

If SIA were to cull the 'Seconded' Pilots as there are too many Pilots in SIA then the rest would not have their flying hours reduced to 'subsistence' Levels. These Pilots can always be taken on again if they are needed as there is always a steady number of ex BA 55 year olds available all the time who will do this job regardless of the Salary being offered, as they all claim to live offshore and don't pay tax, not only on their SIA salaries but also on their Pensions.
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Old 18th Jun 2003, 02:25
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Right now SIA management knew it too well that almost everything is to the company's advantage in terms of pilots supply. You should speak to HR department and they will tell you tonnes of applications from all over the world for various bases ARE pouring in persistently. Whatever figures we can come out with will not change anything else and they WILL try their best to cut the pay while they still have the chance. This way they'll gain at least 5-10years in turning back the wage bill clock and for the next CA negotiations they may/will just offer a small percentage of annual increments as token to buy time till next crisis hits(Or shall I say next opportunity arises???).
I have heard it too often... Quote "when things get better you just watch and see how many locals, expats, Overseas Based....will resign.." Unquote.
It has not happened before and I won't bet on it to happen in the near future. Can't think of too many other viable choices of airlines to work for as an expat, except for Emirates and SIA. Any other suggestions?? Guess not..
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Old 19th Jun 2003, 08:41
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Danger

Hi folks...

This morning Strait Times comes out with story about SIA retrenchments......




http://straitstimes.asia1.com.sg/top...95403,00.html?

Round 1: SIA to lay off 500 ground staff today
By Rebecca Lee and Sue-Ann Chia

SINGAPORE Airlines (SIA) begins its widely expected retrenchment exercise today by axing ground staff first and about 500 employees will be told to go, The Straits Times learnt yesterday.

Although the 6,600 cabin crew and 1,800 pilots will also be affected by the airline's first major retrenchment in 20 years, a final decision on how many in their ranks will be laid off has not been reached, said sources.

Advertisement

The complications in re-arranging the roster of cabin crew and pilots could partly explain the longer time needed.

The cabin crew have also already taken seven days' no-pay leave every two months and this is likely to be increased to nine days next month.

Of the 500 ground crew likely to be given pink slips today, sources said 150 will be from the airline, 200 from listed SIA unit Singapore Airport Terminal Services (Sats), 100 from SIA Engineering and another 50 from its other subsidiaries.

The number of workers affected today is the first round of layoffs that earlier reports said could range from 1,200 to 2,500 jobs that the management was considering making redundant.

However, the final tally will likely fall closer to the lower end of the range that sources had earlier indicated will be affected.

The numbers will include employees who have opted for a special early-retirement package that the company has extended to selected employees with more than 25 years of service and workers whose contracts are not being renewed.

SIA may also shrink or shut some of its stations abroad.

Of the 30,000 staff within the SIA group, about 5,000 are employed overseas.

Sources had indicated earlier that the range of job cuts will be 5 to 10 per cent for ground staff and 2 to 5 per cent for operating crew across the group.

The layoffs come at a time when the airline has taken a severe hit from Sars, losing some $204 million in April alone with passenger numbers plunging 60 per cent last month.

When contacted yesterday, an SIA spokesman said: 'We have not at this time advised staff on any retrenchments. Staff would be the first to know.'

But SIA employees interviewed seemed to think otherwise.

Said an engineer: 'The grapevine says retrenchments will take place tomorrow morning, half an hour after work starts. Must pack and go immediately.

'What I want to know is why we are always the last to know.'

A union leader, who declined to be named, said that they were preparing for the layoffs.

'This is so that we will not be caught off-guard,' the leader explained.

A 'buddy' system, in which an employee is assigned to help some of those laid off, is also in place.

The largest SIA union, SIA Staff Union, which represents about 9,000 rank-and-file employees, is said to be also making similar preparations and has consulted job placement experts.

Said an airline executive: 'Everyone's feeling sombre and depressed.'
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Old 19th Jun 2003, 10:24
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Strait Lies, 19 June 2003

FAIR TREATMENT A MUST

“If civil servants think they are not being treated fairly, we will have a problem.”
- DPM Lee, on not cutting salaries for the sake of cutting

PAYING FOR QUALITY

“The present benchmarks are still the right targets to aim for …. If we want people of that quality (civil servants), then we must aim for that kind of wage.”
- DPM Lee, on how good employees are worth their salaries

Not sure whether the DPM was speaking to his constituents on Mars, to which planet he obviously and regularly commutes and where consistency of approach is presumably not required, or whether he was speaking to the Singapore population at large, unaware of the irony of his words.
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