Achi news desk-
Frankfurt, (APP – UrduPoint / Pakistan Point News – 28th March, 2024) German airline giant Lufthansa and a union representing ground staff said on Wednesday they had reached an agreement on pay after a long dispute, avoiding the threat of Easter holiday strikes.
The agreement between the carrier and the powerful Verdi union came after ground staff staged walkouts in recent months, leading to widespread disruption for air passengers.
After a series of direct pay talks failed, Lufthansa and Verdi entered arbitration this week, leading to Wednesday’s breakthrough.
Details of the agreement were not immediately released.
But Lufthansa’s head of personnel, Michael Niggemann, said it was “a good compromise with a significant increase in wages over the period of the agreement”.
Verdi had been seeking a 12.5 percent pay rise for the roughly 25,000 Lufthansa ground staff it represents.
Ground staff staged their latest strike in early March, with a two-day walkout that resulted in the cancellation of up to 90 percent of Lufthansa flights.
They also walked out in February.
Lufthansa cabin crew, who went on strike at major airports earlier this month, have still not reached a pay agreement with the carrier.
But news outlet Spiegel reported that the aviation group and the UFO union, which represents cabin crew, are due to go to arbitration after the Easter holidays.
The aviation group warned earlier this month of the damaging impact of the recent wave of strikes, saying they would contribute to heavier losses in the first quarter compared to last year.
Lufthansa also faced a wave of strikes in 2022 by staff pushing for higher wages, resulting in significant pay rises being won.
The group – whose carriers include Lufthansa, Eurowings, Austrian, Swiss and Brussels Airlines – had to be bailed out by the German government during the coronavirus pandemic.
But it has since bounced back strongly as travel has improved, prompting unions to argue that the airline is not passing on enough of its huge earnings to its staff in the form of pay rises.
Wednesday’s announcement represents more much-needed good news for employers in Europe’s top economy, which has faced a difficult season of negotiations and wage strikes across several sectors.
German rail operator Deutsche Bahn and the GDL union this week reached an agreement that will see train drivers work a shorter week, ending a months-long row that sparked a series of brutal strikes.
The strikes have added to an already bleak economic picture, with the German economy shrinking by 0.3 percent in 2023.
