SriLankan staff oppose shift from Colombo to Katunayake

The SriLankan Airlines management has come under fire for its plans to relocate its marketing department currently based at the World Trade Centre (WTC) in Colombo to Katunayake as part of its cost-cutting exercise.

SriLankan Airlines sources have said they believe the decision would result in a decline in productivity and efficiency in day-to-day operations.

According to reports, the airline’s marketing department was shifted to Colombo in 2011 with the aim of increasing its promotional activities and thereby, increasing revenue.

The airline had in 2011 decided to base its marketing office in Colombo since all the clients and agencies dealing with the airline’s marketing department were based in Colombo, and also that the necessary facilities to carry out promotional activities and advertising were not available at the Katunayake office were also considered.

After shifting the marketing department to Colombo, a considerable rise in efficiency in routine activities had been recorded, and clients were in a position to fulfill their tasks with ease.

However, according to airline sources, the decision to shift the department back to Katunayake had been taken by the management due to the high rent cost at WTC.

Explaining further, an airline employee who wished to remain anonymous has pointed out that cost-cutting decisions should be made in a skilful manner, minimising the effect on the day-to-day activities of the department and the level of service given to its clientele.

SriLankan Airlines has recorded a loss of Rs. 40 billion in the financial year 2017/2018, the highest annual loss since Emirates’ departure from its management in 2008.

For the nine months ended 31 December 2018, the national carrier’s losses have grown to its highest level in 11 years, eclipsing the previous record of Rs. 32.4 billion recorded in 2014.

The loss incurred in this period was a negative growth of 27.7% from the Rs. 28.9 billion in losses incurred in the financial year 2017/2018.