National carrier SriLankan Airlines will continue its ongoing operations to all existing destinations, but amid stringent financial controls.
The first Board meeting of the airline held last Monday decided on a stringent cost cutting exercise amid overwhelming losses of the airline, SriLankan Airlines Chairman G. S. Vithanage told ‘Daily News Business’.
He also said that the new Board, under his stewardship as Chairman, decided to study the areas in which costs could be pruned which will also mean that there will be no salary increments or bonuses this year.
The approval has been given in principle to slash costs but the Board will be studying which areas would come under the aegis of this operation, the SriLankan Airlines Chief said. While conceding that there will have to be new recruitments in certain areas, the Board will also study areas in which staff could be reduced.
He added that there may be a Voluntary Retirement Scheme for those areas of the airline which will be planned as well.
He said that the National Carrier will also submit a report to the Treasury in due course to maintain the airline as a going concern with the accumulated staggering losses.
However, he stressed that the airline will not be applying to the Treasury for capital infusions at this stage. He also remarked that there will not be slashing of the existing route network at this stage. He said that he approved some routine payments yesterday at the first Board meeting which had been made for food purchases.
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