SINGAPORE Airlines - the world's second most valuable airline - said Tuesday, Sept 14, it will outsource an undisclosed number of information-technology jobs this year in a bid to cut costs.

"We shall not be making any public statement on how many staff are involved ... until the staff themselves have been informed,'' a statement from the airline said.

Singapore Airlines hasn't yet decided how many jobs will be outsourced but said it will happen "later this year.''

"As an airline, we need to search for efficiencies in the way we do business, including using new technology,'' the statement said. "Sometimes, these changes may involve difficult decisions.''

The airline has 14,010 employees, about 30 percent of whom are ground staff that perform IT and other administrative tasks.

Outsourcing jobs is the latest move by the airline to trim S$1.6 billion (US$947 million; euro 773 million) in costs this financial year and follows new wage pacts with its 29,000-strong work force that give the airline more flexibility in controlling payroll costs.

Singapore Airlines put its S$7 billion (US$4 million; euro 3.3 million ) annual expenses under the microscope after it reported a quarterly loss for the first time last year following the SARS outbreak and the war in Iraq.

The airline eventually reported a S$849 million (US$502 million; euro 410 million) net profit for the year ended March 31, but it also vowed to cut costs by as much as S$1.6 billion (US$947 million; euro 773 million) annually.

SIA spends S$1.23 billion (US$728 million; euro 594 million) annually on wages, its second highest cost after its large fuel bill.

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