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Sunday, 8 September 2002  
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SriLankan Airlines signs Memorandum of Understanding

SriLankan Airlines Limited recently signed a Memorandum of Understanding with the Jathika Sevaka Sangamaya, extending the current Collective Agreement by a further 12 months.

Under this MoU, the existing Collective Agreement with the JSS which expired on 31st May 2002 was extended until 30th August 2003.

Additionally the Airline Pilots Guild too agreed to extend their Collective Agreement by a further 12 months. The Pilots Guild Collective Agreement which expired on 31st December 2001 was mutually extended till 31st December 2002.

The extensions of the two Collective Agreements without changes to the existing terms and conditions is a win-win solution for both the employees as well as the Company, said Neeraj Kumar, Chief Financial and Administrative Officer of SriLankan Airlines Limited.

Head of Human Resources of SriLankan Airlines Sunil Dissanayake said that this was probably one of those rare occasions of industrial relations in Sri Lanka where Trade Unions of a Company have extended existing Collective Agreements on the same terms and conditions by mutual agreement.

This is attributed to the good relations, which exist between the Company and the Trade Unions. He said that the unions were acutely aware of the 'turmoil in the aviation industry' "There's less and less air traffic, less passengers travelling by plane. Globally, airlines are coming down in profitability and some have even closed down", he said, adding that SriLankan Airlines had survived due to the commitment of its employees.

"Given the turmoil that existed in the global aviation industry with the events of September 11th 2001 and particularly the damage caused to our airline in July 2001 our union decided to accede to the request of the management to extend the existing Collective Agreement since we felt that the Company was not in a position to enter into a new Collective Agreement with new Terms and Conditions which would have been an additional financial burden on the Company" said Mr. K.J.L. Perera, President of the Jathika Sevaka Sangamaya, SriLankan Airlines Branch.

HNB-Pathum Udanaya2002

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