SPEECH BY MS GRACE FU
SENIOR MINISTER OF STATE FOR NATIONAL DEVELOPMENT
AND EDUCATION AT THE SATSWU 2ND QUADRENNIAL CONVENTION OF DELEGATES
WEDNESDAY, 24 NOVEMBER 2010, 10.00 AM, GRAND MERCURE ROXY HOTEL
Mr Mohan Dass, President of SATS Workers' Union,
Mr Victor Pang, General Secretary of SATS Workers’ Union,
NTUC Central Committee,
Distinguished Guests,
Ladies and Gentlemen,
1 I am happy to be here at the SATS Workers’ Union’s 2nd Quadrennial Convention of Delegates, or QDC for short.
2 Since the inaugural QDC four years ago, the aviation sector has witnessed a slowdown, in no small part due to the global economic crisis, rising operating costs and security threats. In early 2009, Changi Airport received lower passenger traffic and some major airlines suspended flights to Singapore. In response, the SATS Management introduced cost-cutting measures and engaged the union in constant dialogue. From these efforts, the company managed to avoid retrenchment and pay cuts. I applaud the good relationship between the union and SATS’ management, and find it encouraging that solutions were found despite the difficult situation.
3 At the same time, the local aviation industry has undergone several changes, so as to better meet new challenges. In 2008, Changi Airport’s modern Terminal 3 was opened to cater to more passengers. During this period, the biennial Singapore Airshow – the largest aerospace and defense exhibition in Asia – was also successfully organised twice at the Changi Exhibition Centre.
4 Meanwhile, the Civil Aviation Authority of Singapore (CAAS), the former airport authority, has undergone restructuring and we have also seen the corporatisation of Changi’s airport operations. Together, the new CAAS and the Changi Airport Group, I am confident, will enhance Singapore’s status as an aviation hub.
5 SATS, as an organisation, has witnesses some changes as well. As you may be aware, SIA has divested from SATS, allowing both companies to focus on their respective core competencies. For example, SATS has successfully acquired several companies in recent years to grow its food solutions business globally. The acquisitions of Country Food and Singapore Food Industries in 2008 expanded the reach of the SATS brand to Europe and beyond. SATS has also invested in North Asia and the Indian subcontinent, and just a few months ago, SATS announced a venture in high-tech pig farms in China.
6 Recently, with EDB’s support, SATS opened Coolport @ Changi. This facility is Singapore’s first on-airport perishables handling centre and the first in Asia. I believe SATS will grow this business tremendously and will be able to export its expertise to other ports in Asia.
7 As we may know, SATS’ strengths are in its premier ground handling services, and the company was involved in some of Singapore’s major events, including the Formula One race and the Youth Olympic Games. SATS has swiftly taken over the handling of low cost carriers as well, following Swissport’s exit from Changi Airport.
8 For its achievements, SATS has received numerous awards over the years, including the award for Best Air Cargo Terminal in Asia on 12 occasions. These awards demonstrate the employees’ dedication and hard work, and the union’s harmonious relations with the SATS Management.
9 Just last year, the SATS Workers’ Union celebrated its 25th Anniversary, and had since embarked on a leadership renewal. As part of this renewal, some union Executive Committee members will be passing the baton to a younger generation of leaders after this QDC. This includes Mr Victor Pang, who will be stepping down as Secretary General. Mr Pang has been instrumental in shaping the direction of the union since 1984, and has fostered a cordial relationship between the SATS Workers’ Union and the SATS Management. On behalf of SATS’ union and management, I thank Mr Pang for his contributions and leadership.
10 I hope the SATS Workers’ Union and the SATS Management will continue their good rapport under the new leadership and bring their partnership to greater heights.
11 I wish you a fruitful event. Thank you.