[SINGAPORE] Jetstar Asia employees were only informed of their retrenchment at 7 am on Wednesday (Jun 11) – the same morning the public announcement went out.
“It was unexpected – all my managers were also in shock, and they didn’t see it coming,” said a cabin crew member, who declined to be named.
“Dropping the bomb suddenly – it’s kind of ridiculous and frustrating for us. I was awake from 7 am till now, still trying to process what happened. It’s a bit unfair.”
The Qantas Group-owned budget carrier sent a press release at 7.22 am to announce it would cease operations on Jul 31, laying off over 500 employees in Singapore.
Just before that, employees were alerted via text on a crew activation system typically used to mobilise reserve staff.
This was followed by e-mails about the retrenchment, and a virtual townhall on Microsoft Teams at 8.15 am.
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Jetstar Asia’s management also instructed staff not to speak to the media, The Business Times understands.
Affected employees will receive four weeks’ salary for each year of service, along with a performance-based bonus for financial year 2025 and a “thank-you payment”, understood to be around S$1,200.
Still, the sudden layoff is expected to disproportionately affect employees such as cabin crew, whose basic salaries are supplemented largely through flight allowances, the employee explained.
In the employee’s case, the base pay amounts to about S$1,000 a month. The employee said that Jetstar Asia’s decision to cancel upcoming flights ahead of its Jul 31 closure will further reduce their earnings in the weeks ahead.
“I checked the iChangi app (and) there’s a lot of our flights that have been cancelled or re-timed, and I see (that) it’s mostly been cancelled,” the employee added.
“To me, it kind of sucks, because if today has already been cancelled, tomorrow also will be the same thing – until Jul 31, I don’t know whether I’m going to do more flights, or fewer flights.”
Higher costs
Jetstar Asia, which began operations in 2004, cited rising supplier costs, airport fees and aviation charges, along with intensifying regional competition, as reasons for its closure.
Customers impacted by the shutdown will be offered alternative flights or full refunds.
The impending closure affects 16 intra-Asia routes – including flights from Singapore to Kuala Lumpur, Jakarta, Bangkok and Manila – but will not affect Jetstar’s operations in Australia, New Zealand or Japan.
Changi Airport Group said Jetstar Asia flew about 180 flights a week and carried 2.3 million passengers in 2024, or roughly 3 per cent of total traffic.
Its fleet of 13 Airbus A320s will be redeployed within the Qantas Group to support growth in Australia and New Zealand.
