SAS and pilot unions have reached a wage deal, the Scandinavian airline stated lately, ending a 15-day strike over a brand new collective bargaining settlement that had grounded 3,700 flights and thrown the service’s future into doubt.
SAS, which filed for US chapter safety on the second day of the strike, stated the economic motion had value it greater than USD 145 million up to now and affected 380,000 passengers within the peak summer season journey season.
The labor stripe was the newest throughout Europe’s aviation sector as thousands and thousands of staff wrestle with rising prices of residing, prompting commerce unions to demand greater wage will increase and stage walkouts and disrupting journey. Even earlier than the pandemic hit, SAS was dropping cash amid rising competitors from low-cost carriers. The firm’s largest homeowners are Swedish and Danish taxpayers.
The airline stated the brand new 5-1/2-year cope with 4 pilot unions would assist it obtain a part of the USD 700 million of annual value financial savings set out in a enterprise transformation plan that additionally consists of such measures as handing again undesirable planes to lessors .
“Finally, we can resume normal operations and fly our customers on their much longed-for summer holidays,” SAS Chief Executive Anko van der Werff stated in an announcement. “I deeply regret that so many of our passengers have been impacted by this strike.” Some flight disruptions will proceed whereas the airline works to renew regular visitors, the corporate stated.
SAS stated the settlement with pilots concerned greater productiveness, elevated flexibility in seasonal capability and a dedication, as operations ramp up till 2024, to rehire 450 pilots laid off throughout the pandemic.
The deal will permit the airline to finalize plans within the subsequent few weeks to lift USD 700 million of contemporary financing wanted to see it by means of the chapter safety course of, the corporate stated.
SAS added the ultimate deal remained topic to approval by unions and a US federal courtroom. It anticipated to obtain that approval inside a couple of weeks. The US Chapter 11 chapter safety course of is predicted to final for 9 to 12 months, the airline has stated beforehand.