Lufthansa Prepares New Offer To Pilots To Avert Two-Day Strike

(CTN News) _ On Friday, September 2, 2022, Lufthansa aircraft are parked at the airport in Frankfurt, Germany as part of their maintenance work.

German Airlines said it is preparing an improved offer for pilots threatening to stage a two-day strike starting at midnight,

A last-ditch attempt to hammer out an agreement in an effort to avert crippling disruptions at its main airports as a result of the strike.

Members of the VC pilots union have announced that they will go on a walkout beginning after midnight tonight and ending just before midnight on Sept. 8.

Lufthansa has already canceled about 8,000 flights during the lucrative summer travel season due to strikes.

A cargo pilot union plans to strike for one more day, according to its website.

Should the walkout take place, warned of a “massive impact” on its flight schedule if it did not hold talks with the union on Tuesday.

This summer, the airline avoided a second round of strikes by improving its pay offer.

The member of the board responsible for labor issues, Michael Niggemann, has pledged that his company will do everything possible to achieve a successful outcome with an improved offer, even under time pressure.

If the union is to avoid a strike, it said it needs a “serious offer” to do so.

Frankfurt shares of Lufthansa traded 0.49% higher at 9:40am. Since the start of the year, the company’s stock is down about 4%.

About 9,600 members of the union voted overwhelmingly in favor of walkouts late last month. In response to near double-digit increases in consumer prices, pilots are demanding wage increases.

Just last week, the carrier had to cancel hundreds of flights due to a walkout by ground crews.

In recent months, Europe’s aviation industry has been plagued by chaotic operations, partly due to a lack of ground staff in areas from security to baggage handling, and as employees demand higher wages to cope with soaring living costs.

Following a two-year spell of lockdowns, which pushed Lufthansa to the brink of bankruptcy and saddled it with billions of euros in debt, travel demand has roared back as people return to vacations and business trips.

Efforts are underway to boost earnings margin to at least 8% by 2024 in order to reduce the airline’s debt burden.

Spohr may have trouble balancing the need for more staff with a push to cut costs due to disputes with worker representatives and concessions over pay.

Is Lufthansa a luxury airline?

Lufthansa has presented the Explorer, a new pioneering cabin design for long-haul aircraft. 383 million euros is the amount the company estimates it will need to transform an Airbus A330 into a transport of absolute luxury.