Germany’s Lufthansa, union reach pay deal for ground staff

German air carrier Lufthansa reached a pay agreement with the Verdi trade union on Thursday, which would raise salaries for thousands of ground staff.

While deal has averted further strike action by the airline’s ground staff, a potential strike by Lufthansa’s pilots could still be on the horizon.

What does the deal entail?

The agreement would increase monthly basic salaries by 2.5% beginning in January 2023. Salaries would then increase by another 2.5% on July 1 next year.

The deal, which is valid for 18 months, will impact some 20,000 Lufthansa ground staff represented by Verdi.

The breakthrough comes after a Lufthansa ground staff strike paralyzed the carrier’s operations on July 27, leading to the cancellation of over 1,000 flights and stranding passengers.

At the same time, the company’s labor woes may not yet be over. On Sunday, the vast majority of Lufthansa pilots voted in favor of a potential strike amid a pay dispute with the carrier.

Lufthansa records first net profit since outbreak of pandemic

Also on Thursday, Lufthansa reported its first net profit since the outbreak of the COVID-19 pandemic. The company recorded €259 million ($265 million) in net profit between April and June of this year. 

The German government bailed out the airline in 2020, as demand for flying plummeted due to the pandemic.

However, travelers have once again taken to the skies now that vaccines are available and countries are reopening for visitors.

Lufthansa, which is headquartered in the western German city of Cologne, is Europe’s second largest airline.

The company also owns Austrian Airlines, Brussels Airlines, budget carrier Eurowings and Swiss International Air Lines, among others. 

wd/rs (AP, dpa)

Article source: https://www.dw.com/en/germany-s-lufthansa-union-reach-pay-deal-for-ground-staff/a-62716364?maca=en-rss-en-all-1573-rdf