German Carrier Lufthansa Reaches Deal with Unions Over Layoffs

Lufthansa and Vereinigung Cockpit pilots’ union agree on COVID-19 crisis measures.

Lufthansa has finally reached an agreement with the Cockpit pilots union, Vereiningung, on an initial package of measures to deal with the current coronavirus crisis that includes reducing costs and avoiding layoffs until at least March 2021.

Starting in September, the company will reduce compensation for part-time work and contributions to pension plans, also, salary increases already agreed for this year will be postponed now until 2021.

The airline group has also promised that the planned layoffs for operational reasons will not arrive until the second quarter of 2021 on March 31.

The company will not take action with respect to the excess of pilots but points out that this surplus of personnel will last throughout the year. It was for this reason that redundancies for operational reasons can only be avoided if another agreement is reached with the pilots to deal with the long-term crisis. Fewer hours and lower salaries were given as ways to try and delay the redundances for as long as possible.

Lufthansa has also announced that it will stop recruiting new pilots from outside the group in all German flight operations while there are staff surpluses.