Lufthansa has entered into a short-term agreement with the pilot union Vereinigung Cockpit (VC) for initial measures to contain the coronavirus crisis. The measures apply to the pilots of Lufthansa, Lufthansa Cargo, Lufthansa Aviation Training and some of the Germanwings pilots. 

Cost savings until the end of 2020 

The agreement includes cost-saving measures that are valid until the end of the year. Among other things, the additional allowances for short-time working and employer's contributions to the pension scheme will be reduced from September. The collective wage increases negotiated for 2020 will be postponed to January 2021. 

Layoffs for business activities at the earliest in the second quarter of 2021

Until March 31, 2021, Lufthansa excludes operational layoffs for the pilots of Lufthansa, Lufthansa Cargo, Lufthansa Aviation Training and parts of the Germanwings pilots. However, the considerable overcapacity among the pilots will last considerably longer than until March 2021. The number of forced redundancies for operational reasons can therefore only be limited by concluding a multi-year crisis agreement. In a long-term crisis package, the costs of redundant personnel could be compensated for, for example, by shortening working hours and lowering salaries during the crisis period.

At the same time Lufthansa announced that it will refrain from hiring new pilots from outside the Group for all German flight operations as long as there is an overcapacity of flight crew. This will also apply to the cockpit occupancy of tourist-oriented flight operations - which are open to Sun Express Deutschland pilots and Brussels Airlines' German base who have flown tourist routes in recent years. 

Negotiations on the alignment of interests and social plans will continue with the respective flight crew representatives. This process is most advanced at Germanwings, whose flight operations are not continuing due to the consequences of the corona pandemic. The package of measures has been approved by the Board of Directors of Deutsche Lufthansa AG, the Arbeitgeberverband Luftverkehr and the VC committees and is effective immediately.

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