Lufthansa: Airline Raises Pilot Salaries With Government Loans



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Lufthansa increases salaries for pilots with state credit

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“Savings are made whenever possible”

The Lufthansa Group sank further into the red in the third quarter and will only offer a maximum of a quarter of last year’s flights before the end of the year. But it’s not just the tow truck that’s doing it wrong. Dietmar Deffner classifies the situation in the aviation industry.

Lufthansa boss Carsten Spohr explains that the monthly short-time allowance for ex-A380 captains will be increased from around € 5,000 to up to € 15,000. At the same time, one in five employees will have left the airline by the end of the year.

reLufthansa is also using the € 1 billion government loan to significantly increase the pilot’s short-term work allowance. CEO Carsten Spohr confirmed to WELT AM SONNTAG that, for example, the short-term monthly allowance for ex-A380 captains will increase from around € 5,000 to up to € 15,000.

With the pure short-term work allowance, the “monthly basic wage would be cut in half” because a large part of the wage is above the income threshold. “We can’t and we don’t want to expect our drivers to do that,” Spohr said.

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After the commercial crash in the Corona crisis, the airline received a government loan of nine billion euros from Germany to maintain operations. Because the recovery in air traffic is slower than initially expected, the group increased the cuts throughout the year. “In December we had less than 10 percent of the passengers compared to the previous year,” Spohr said.

“Among other things, 29,000 employees will have left us by the end of this year, unfortunately one in five Lufthansa employees,” said the airline boss. The goal is to keep 100,000 employees at Lufthansa. “But those can’t be full-time jobs in all areas.

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We just have to distribute the work differently, ”Spohr said. Therefore, beyond 2021, the group will likely need “structural and part-time cost saving models” by the middle of the decade, which is currently being discussed with unions.

An agreement has been reached with the approximately 5,000 pilots that they will be protected from layoffs for operational reasons until the end of March 2022. The airline and the Vereinigung Cockpit (VC) pilots union agreed on a collective crisis agreement. In exchange, Lufthansa can extend the reduced hours until the end of next year, cut working hours with corresponding pay cuts and suspend rate increases.

You can read the full research at WELT AM SONNTAG. We will be happy to take them to your home periodically.

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Source: WELT AM SONNTAG

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