Singapore Airlines said on Friday it would cut 130 staff at its information technology operations, capping a week of lay-offs at the world's second most valuable airline.
The 130 staff can either join an independent company which will take over the IT operation or leave state-controlled Singapore Airlines, an airline official said.
Earlier this week, the airlines said it will lay off about 70 people at its finance division. A total of 108 staff were cut and another 1,064 jobs were to be outsourced at its 85 percent owned baggage handling and catering arm, Singapore Airport Terminal Services.
Singapore Airlines, which posted a better-than-expected profit of SGD$259 million (USD$153.3 million) for the first quarter, expects about SGD$10 million (USD$5.9 million) in one-off costs arising from the job cuts at its information technology arm but said the yearly cost savings would amount to SGD$15 million (USD$8.9 million) starting next year.
Earlier this year, chief executive officer Chew Choon Seng said the company would have to cut costs by up to 20 percent or up to about SGD$1.6 billion to achieve a target of 8 percent return on capital employed.
