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SIA, pilots reach interim deal
Pilots re-hired after retirement will be paid effective mid-point pay
By Karamjit Kaur, Aviation Correspondent
AN INTERIM solution has been accepted by Singapore Airlines (SIA) and its pilots' union to settle a longstanding stalemate over pay and other benefits for employment beyond 62.
Urged by the Manpower Ministry (MOM) to find common ground, SIA has agreed to pay pilots re-hired after retirement the effective mid-point of their salary scale.
The Straits Times understands that a captain, who is already at the top end of the scale, would get a basic monthly pay of $15,000.
When negotiations started many months ago, SIA had proposed to pay the basic starting pay of about $12,000, with the re-hired pilot forgoing all previous increments.
This was rejected by the Air Line Pilots Association-Singapore (Alpa-S).
Both sides turned to the ministry for help.
The deadlock was over the terms and conditions for working between the ages of 62 and 65, which is when pilots have to give up their wings as required by the International Civil Aviation Organisation, the United Nations body which regulates the aviation industry.
Despite several rounds of conciliation meetings facilitated by the ministry, SIA and Alpa-S were still not able to see eye to eye.
That was when MOM suggested that, as an interim arrangement, SIA could offer suitable candidates re-employment and pay them the effective mid-point of the salary scale, a ministry spokesman told The Straits Times yesterday.
The airline agreed and the union had no objections.
The spokesman said the arrangement would not hamper the ability of both sides to negotiate for terms and conditions for re-employment before or after the Retirement and Re-employment Act comes into effect.
The new law, which will be effective in January next year , will make it compulsory for companies to offer re-employment to retired staff.
The ministry stressed that it is in the interest of Singapore employers to re- hire experienced staff, particularly in a tight labour market.
It would also let older workers continue to work and contribute to their firms and the economy, the spokesman said.
When contacted, union president Captain P. James said it is a positive development that the ministry has convinced the company to pay the effective mid-point salary.
He said: 'The current collective agreement that we have with the company does not stipulate the pay and conditions for retired pilots who are re-hired. Now, there is a guideline.'
The union represents the majority of SIA's more than 2,000 pilots.
SIA spokesman Nicholas Ionides said the company is pleased to be able to implement a re-employment scheme for pilots which is in line with the Tripartite Guidelines on Re-employment.
For the pilots though, the saga is far from over, said Captain James.
He said: 'We will take this matter up again when the new re-employment Act comes into effect.'
[email protected]
Pilots re-hired after retirement will be paid effective mid-point pay
By Karamjit Kaur, Aviation Correspondent
AN INTERIM solution has been accepted by Singapore Airlines (SIA) and its pilots' union to settle a longstanding stalemate over pay and other benefits for employment beyond 62.
Urged by the Manpower Ministry (MOM) to find common ground, SIA has agreed to pay pilots re-hired after retirement the effective mid-point of their salary scale.
The Straits Times understands that a captain, who is already at the top end of the scale, would get a basic monthly pay of $15,000.
When negotiations started many months ago, SIA had proposed to pay the basic starting pay of about $12,000, with the re-hired pilot forgoing all previous increments.
This was rejected by the Air Line Pilots Association-Singapore (Alpa-S).
Both sides turned to the ministry for help.
The deadlock was over the terms and conditions for working between the ages of 62 and 65, which is when pilots have to give up their wings as required by the International Civil Aviation Organisation, the United Nations body which regulates the aviation industry.
Despite several rounds of conciliation meetings facilitated by the ministry, SIA and Alpa-S were still not able to see eye to eye.
That was when MOM suggested that, as an interim arrangement, SIA could offer suitable candidates re-employment and pay them the effective mid-point of the salary scale, a ministry spokesman told The Straits Times yesterday.
The airline agreed and the union had no objections.
The spokesman said the arrangement would not hamper the ability of both sides to negotiate for terms and conditions for re-employment before or after the Retirement and Re-employment Act comes into effect.
The new law, which will be effective in January next year , will make it compulsory for companies to offer re-employment to retired staff.
The ministry stressed that it is in the interest of Singapore employers to re- hire experienced staff, particularly in a tight labour market.
It would also let older workers continue to work and contribute to their firms and the economy, the spokesman said.
When contacted, union president Captain P. James said it is a positive development that the ministry has convinced the company to pay the effective mid-point salary.
He said: 'The current collective agreement that we have with the company does not stipulate the pay and conditions for retired pilots who are re-hired. Now, there is a guideline.'
The union represents the majority of SIA's more than 2,000 pilots.
SIA spokesman Nicholas Ionides said the company is pleased to be able to implement a re-employment scheme for pilots which is in line with the Tripartite Guidelines on Re-employment.
For the pilots though, the saga is far from over, said Captain James.
He said: 'We will take this matter up again when the new re-employment Act comes into effect.'
[email protected]
