Hong Kong flag carrier Cathay Pacific Airways may find itself in a weaker position in the race for global talent, an analyst has said, after two of the airline’s major rivals dished out heftier bonuses for at least two straight years.
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Singapore Airlines (SIA) offered employees a profit-sharing bonus equivalent to 7.45 months’ pay after reporting a record net profit of S$2.78 billion (US$2.15 billion) for 2024-25, surpassing analysts’ expectations.
The amount is slightly lower than the 7.94 months’ bonus it dished out last year, despite a 3.9 per cent increase in SIA’s net profit.
Dubai-based airline Emirates’ employees are also in line for a windfall after its group announced last week a record-breaking pre-tax profit of US$6.2 billion for the 2024-25 financial year, with staff set to receive a 22-week bonus payout.
Emirates, the most profitable airline in the world over the reporting period, has committed big bonuses to its ever-growing workforce for three years running. It awarded a 20-week bonus to employees in 2024 and a 24-week one in 2023.
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By comparison, Cathay Group’s net profit rose 1 per cent year on year to HK$9.9 billion (US$1.28 billion) in 2024, up from HK$9.78 billion in 2023, which was the first time it recorded a profit in four years. The company had accumulated a string of large deficits totalling HK$34 billion over three years when the Covid-19 pandemic crippled the travel industry.