Only the confidentiality agreement on the topics of the past months still holds. But the negotiations between Deutsche Lufthansa and the pilots' union Vereinigung Cockpit (VC), which were conducted for half a year in what was the language – in a "closed space", have ended – without agreement. The union is said to have terminated the process on March 31. This increases the risk that strikes could occur in the cockpits of the core Lufthansa brand in the summer. A peace obligation only applies until 30 June.
Timo Kotowski
Editor in business.
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In a podcast of the union, it is said that the talks were "exhausting" and "extremely tough". There had been several appointments per week over the negotiation period. There should not have been quite so many meetings, according to employers. An agreement is also possible, there are still three months left. Nevertheless, Lufthansa should also be aware that the exchange will now be more difficult, as the confidentiality clause no longer applies.
Co-pilots with no chance of change
What prevented the agreement, both sides are silent. But the long list of topics suggests that consensus was difficult. Lufthansa had agreed not only to negotiate collective agreements, but at least to discuss some strategic and cultural points, which it was not obliged to do. Now the long series of appointments has remained without a solution.
The union complains that there are co-pilots who have been in service for 17 years without a chance to change to the higher-endowed captain's seat. In addition, she wants salary adjustments, an end to a separate tariff structure for new entrants, changes to service and rest time rules.
The biggest annoyance in the background, however, is likely to be that shortly before Christmas 2021 – under the impression of the pandemic – Lufthansa terminated an agreement that stipulated for pilots of the core brand that at least 325 aircraft would be occupied by them. In the meantime, CEO Carsten Spohr has admitted that the termination was wrong from today's perspective. Nevertheless, it has been revived, allegedly the VC saw a need for discussion. It was only possible to agree twice - most recently on 1 April - to increase the monthly remuneration for pilots by 490 euros each and to shift further topics to the "closed room".
Is there another subsidiary?
The issue of how many aircraft are controlled by pilots subject to the tariff of the core Lufthansa brand cannot legally justify a strike. But the question is essential for VC. So it is fitting that a number of tariff issues are controversial. In any case, it was observed with suspicion that since 2021 the new Eurowings Discover – outside the Group fare – has been operating holiday routes on which the Lufthansa brand was once travelling.
Preparations for a new company "City Airlines", which could take over feeder flights to Frankfurt or Munich, are also underway. Lufthansa had promised to keep quiet for the discussion phase, which referred to the search for employees and aircraft for "City Airlines", but the necessary operating license was still applied for.
Since the booking situation has recently been better than hoped for during the crisis, Lufthansa has once again embarked on a growth course. The only open question is which operating unit is expanding. The logic behind it: An airline that becomes too expensive cannot grow. CEO Spohr had complained in the past that the pilots of the core brand Lufthansa earn a lot in international comparison. The "City Airlines" project would be a measure to reduce costs. The workers are likely to have registered, however, with a view to their own claims, that US airlines have promised annual salaries of up to more than 500,000 dollars in the fight against staff shortages. Top earners in the Lufthansa cockpit reach almost 300,000 euros.