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Indiaexportnews.com

Lufthansa and unions agree on arbitration to reach wage settlement

  22.12.2016    

Lufthansa and the pilots' union Vereinigung Cockpit (VC) are to seek the help of a mediator to resolve their dispute over a new collective wage agreement, after strikes by the pilots have cost the airline an estimated EUR10 million-EUR15 million (US$10.34m to $15.6m) per day.
The negotiating parties have agreed to finalise the arbitration by the end of January and "to maintain industrial peace regarding the collective wage agreement until then," Lufthansa management said in a statement, reported London's Air Cargo News.
While there have been negotiations regarding the collective bargaining agreement over the last few months, they were not successful in bringing the respective positions closer together to the point of a negotiated agreement.
Head of Human Resources and Legal Affairs at Lufthansa, Bettina Volkens, said: "We have had some intense talks over the past months and have now succeeded in agreeing on arbitration for the collective wage agreement. The negotiating table is the only place where we can find solutions that offer prospects for employees and for the company.
Lufthansa made an improved pay offer to pilots at the end of November in a bid to avoid further industrial action related to the dispute over wages. The German airline offered a two-step 4.4 per cent increase in remuneration plus a one-off payment. Remuneration would be increased by 2.4 per cent for 2016 and by a further two per cent for 2017.



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