Get 40% Off
👀 👁 🧿 All eyes on Biogen, up +4,56% after posting earnings. Our AI picked it in March 2024.
Which stocks will surge next?
Unlock AI-picked Stocks

Cabin crew union demands Lufthansa bailout safeguards jobs

Published 05/22/2020, 06:16 AM
Updated 05/22/2020, 06:20 AM
© Reuters. FILE PHOTO: Lufthansa aircraft parked on tarmac in Germany

FRANKFURT (Reuters) - Germany's airline cabin crew union called on Friday for Berlin to include measures to safeguard jobs in the bailout package which is being finalised for airline Lufthansa (DE:LHAG).

The UFO union said it was "regrettable" that negotiations with the government did not appear to involve provisions to preserve jobs at the German airline, which is burning cash as the coronavirus pandemic has grounded most of its flights.

Lufthansa is in advanced talks over a 9 billion euro ($9.8 billion) bailout with the government, which would involve Germany taking a 20% stake in the airline, but UFO said the plan would not ensure workers' rights.

"We would really wish that the government, when it provides money to help Lufthansa, would also help the employees," UFO spokesman Nicoley Baublies told Reuters TV.

"After all, it is taxpayers' money that has to be extended to workers so that they don't end up on the street, despite the money flowing," he added.

UFO members were prepared to accept hardship but only if jobs could be preserved under a different operating model which addressed social aspects, he said, adding that there was not enough evidence of "decency and honesty" being applied.

Once Berlin's economic stabilisation fund puts forward a final offer, Lufthansa's management and supervisory board will need to approve the deal.

A spokesman for Lufthansa declined to comment on the talks.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.