SINGAPORE: The Government will extend the aviation workforce retention grant by six months to support aviation companies and workers, said the Civil Aviation Authority of Singapore (CAAS) on Monday (Sep 27).
This is to help "aviation companies preserve core capabilities and position for recovery", said CAAS in a news release.
Eligible companies will receive 30 per cent support of the first S$4,600 of the gross monthly wages paid to each local employee from October to December 2021.
From January to March 2022, they will receive 10 per cent support for the same amount.
The grant is expected to benefit more than 100 companies in the aviation sector and will cost the Government about S$130 million.
"The (grant) was introduced in Budget 2021 as part of the OneAviation Support Package to provide targeted support for the aviation sector and safeguard Singapore's position as an aviation hub," said CAAS.
In addition to wage support, companies in the sector will continue to receive training support through the Enhanced Training Support Package, as well as cost relief as part of the OneAviation Support Package.
"Workers can also make use of the Singapore OneAviation Reskilling grant to undergo competency and reskilling training and enhance productivity," said CAAS.
COVID-19 has "decimated" air travel, and after 20 months, the aviation industry remains one of the hardest-hit of all economic sectors, said CAAS.
As of September this year, total passenger traffic movements at Changi Airport is at 3.6 per cent of pre-COVID-19 levels, said the authority.
"Aviation companies have reduced their manpower to adjust to the decreased air travel activity," it added.
Director-general of CAAS, Mr Han Kok Juan, said: "The extension of the aviation workforce retention grant will help aviation companies tide over this difficult time and retain and rebuild core capabilities to position for recovery."
He added that the sector is seeing "some green shoots of growth" with the "successful launch" of the vaccinated travel lane to Germany and Brunei, and plans to extend it to other countries and regions.