The Singapore government is providing additional relief to its aviation sector and will extend SG$870 million (US$655.5 million) more in financial support to help the industry recover as it continues to reel from the impact of COVID-19.
Aside from the additional financial support, the Singapore government will also be enhancing its manpower support amounting to SGD330 million. Under the jobs support scheme, companies in the aviation sector will receive 30% support for wages paid from April 2021 to June 2021, and 10% support for wages paid from July 2021 to September 2021.
The package will further enhance wage support for companies through an aviation workforce retention grant, to 50% support for wages paid to local employees from April 2021 to September 2021.
"The package will enable aviation companies to preserve core capabilities and tide through the crisis, and preserve Singapore’s position as an aviation hub post-COVID-19," the statement read.
Support for recovery
It also noted that many aviation companies have reduced their headcounts over the past year and the goal is to "avoid further reductions to the aviation workforce so that companies will not lose their core local capabilities, which has taken many years to build up."
"If the sector weakens its capabilities, this will hamper its ability to recover," it said.
Companies in the air transport sector will also continue to receive training support through a support programme which has been extended through the end of the year.
"Singapore-based carriers will receive support to convert some of their existing pilots to operate other aircraft types," it said.
There will also be a cost relief amounting to SGD540 million, including landing and parking fees for airlines, rental for lounges and offices, and licence fees for ground handling and catering services.
Furthermore, the Singapore government is extending its existing rebates on fees and charges at the Singapore Changi Airport and Singapore Seletar Airport for an additional year.
It said the rebate on fees payable by pilots, air traffic controllers and aircraft maintenance engineers will also be extended for another year.
“Aviation is one of the hardest-hit sectors during this pandemic, if not the hardest hit, as Changi and its stakeholders have lost 97.5% of its customers. Yet for a city-state like Singapore, the air hub is essential to connect us with the rest of the world and continues to be our lifeblood. This support will help Changi tide through the crisis, while we explore ways to reopen borders safely,” said Minister for Transport Ong Ye Kung.
