RIP Monk, we will miss you

 

11.40 am update from Monk's sister:

SIA share price & Covid 19 infection on 9 Feb

Broking houses' buy call on SIA

Buffaloporeans??

 

In my humble opinion ...

 I am no expert in economics or the medical field but I wish to express my thought on the current pandemic and the global economy.

The world cannot go on the way it is. Closing one's border is not a practical way. It can caused the world's economy to collapse and hurt millions around the world. Covid-19 will not kill as many people as a dysfunctional economy can. Poverty and hunger can kill many and suicide is not excluded.

The world is interdepend on one another. Tourism and related activities are important to the survival of many. Therefore, my suggestion is to open the borders and allow people to travel. It will not only boost the airline and tourism industries but the world trade as well. 

For a start, all countries should allow Covid vaccinated people from other countries to enter without restriction. Sure, the visitors should observe some protocols like wearing of masks, social distancing etc.

We are not sure how long more this pandemic would last but it has been a year. What will happen if it goes on for another one, two or maybe five more years? Are the borders going to be closed for that long?

Will the agreement be enforced?

 SIA and the Pilot's union has agreed in principle to the following last September:

• No job loss until March 2022
• If company becomes profitable and flying hours still below 72, all paycut will cease after March 2022
• Fleet movement to restart next month (Oct) with pilots from A-330 and A-380 to move to either B-777 or A-350
• Projected recovery of flying hours is 60 to 70 hours by next July/August
• Flights to Nowhere program will not happen because they won't generate profit

The first 2 points may not be achieved as the industry is still struggling with fewer passengers flying due to border closure in many countries. The epidemic is getting worse due to a few new type of variant strain spreading which are more infectious.

 

With positive Covid vaccination, SIA & Changi Airport....

 With all the good news about the crew and staff of Changi Airport being vaccinated   and the mounting of more flights, 2021 may be worst than 2020. Singapore is also willing to open its border to other low Covid risk countries but it is not being reciprocated. 

The government support scheme (50% subsidy of crew salary ends March this year) will end come March. We do not know whether the support scheme will continue after March. If not, it will be a huge burden for SIA to continue paying full salaries to its crew. In my opinion, there may be another round of retrenchment of crew. This time would probably affect all the foreign crew. In the first round of retrenchment, only foreign crew below 2 year service were retrenched.

The other alternative to retrenchment is to force the crew to go on long "no pay leave".

What are your thoughts?

SilkAir is now SIA (Singapore Airlines)

 

I am going for my vaccination soon