Lufthansa launching new subsidiary airline despite no labour deal [Yahoo! Finance]
DEUTSCHE LUFTHANSA S/ADR (DLAKY)
NASDAQ:AMEX Investor Relations:
investor-relations.lufthansagroup.com/en.html
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Source: Yahoo! Finance
The first departure scheduled is at 9:10 am (0710GMT) from Munich headed for the central English city of Birmingham. On Tuesday, the pilots' union Vereinigung Cockpit (VC) and the flight attendants' union UFO confirmed that no agreement on the working conditions had been reached with the new airline. This means that the transfer of staff from the existing subsidiary Lufthansa Cityline to the new company remains unclear. The existing Cityline is expected to be wound down and replaced by the new City Airlines. Lufthansa chief executive Carsten Spohr had repeatedly pointed to restrictions on Cityline in the existing collective bargaining agreement as a key reason for the move. The new City Airlines has offered voluntary transferees a bonus equivalent to one year's salary to make the jump. However, the cabin crew union UFO has advised its members not to accept the offer, as many of the conditions unilaterally set by the airline on things like pay and working hours lag behind th
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