(Union corrects number of employees affected in the first paragraph.)
Jan. 26 (Bloomberg) -- Deutsche Lufthansa AG, Europe’s second-biggest air carrier, reached a pay agreement today with about 33,000 members of the Ver.di union after making an improved offer.
Ground staff at the Lufthansa Systems unit as well as employees of Lufthansa Technik and Lufthansa Cargo will receive a 3.5 percent wage increase backdated to Jan. 1 and effective for 13 months, Ver.di said in an e-mailed statement. The union’s negotiators agreed to the deal after Lufthansa increased the holiday pay contribution offer to 1,075 euros ($1,408), according to the statement.
“The 3.5 percent wage increase is a good result which puts more money in employees’ pockets and corresponds to their good work ethic,” Christine Behle, a Ver.di board member, said in the statement.
The deal doesn’t include cabin personnel who are members of the flight attendants’ union UFO. Talks will continue with cabin personnel at a later point, Ver.di said. UFO’s contract is valid through March 31, Lufthansa said in an e-mailed statement.
The wage talks, which started on Jan. 13, came ahead of cost-saving measures that Lufthansa intends to announce this quarter. The Cologne, Germany-based carrier has already trimmed its growth plans this year, cutting capacity growth to 3 percent from a planned 9 percent, while reducing the number of jets it operates by six.
--With assistance from Naomi Kresge in Berlin. Editors: Robert Valpuesta, Chris Jasper.
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