KLM Pilots Reject Wage Freeze from Dutch Government

posted on 2nd November 2020 by Eddie Saunders
KLM Pilots Reject Wage Freeze from Dutch Government

By Brent Foster airwaysmag.com

KLM (KL) Pilots via their union have declined to accept a wage freeze through 2025, potentially endangering the future of the airline amid the COVID-19 pandemic.

While unions representing cabin crew have agreed to a similar prolonged wage freezes, the union representing the pilots stated that extending the freeze from 2022 to 2025 on such a short notice was not feasible.

The wage freezes are set to last as long as KL receives governmental support.

A Delicate Balance

KLM, having previously submitted a restructuring plan to the Dutch government, is at risk of having the government withhold a €3.4bn bailout package unless the company adjusts the restructuring plan to include the freezes.

This comes as Air France-KLM on Friday reported a 67% drop in third quarter revenue to €2.52bn as COVID-19 continuously ravages the industry.

The group, having €12.4bn largely thank to governmental bailouts, will rely on the KL pilots union agreeing to the wage freeze for survival.