As Luxair rebounds from pandemic-related challenges, the airline has finalised a collective agreement with unions, introducing pay rises, enhanced rest policies, and other perks for its workforce.

Luxembourg's national airline Luxair has signed a new collective agreement with trade unions, introducing a range of benefits for its staff.

The agreement, finalised on Monday, was reached with the Luxembourg Confederation of Christian Trade Unions (LCGB) and the Independent Luxembourg Trade Union Confederation (OGBL), following failed negotiations earlier this year.

The deal comes as Luxair rebounds from the challenges of the Covid-19 pandemic, which saw a significant slowdown in operations, to a record 2.5 million passengers in 2023. The airline stated that the agreement recognises "the past efforts of staff" and aims to secure "a sustainable and prosperous future for all."

Pay increases and bonuses

The agreement includes several key improvements for employees. Pay scales for pilots, ground staff, and cabin crew have been adjusted, with a salary progression scale reintroduced from 1 January 2025.

Pilots are now categorised into two groups: co-pilots and captains. Ground staff and cabin crew will benefit from transitional pay grids ensuring annual salary increases, while in-charge flight attendants will receive higher bonuses.

Additionally, employees under contract as of 31 December 2024 will receive a salary increase in the form of a "special crisis exit allowance" of €50.00 gross, subject to wage indexation. This allowance will be paid 13 times a year, starting 1 October 2025, with pilots excluded from this provision.

Rest days and additional benefits

Beyond salary improvements, the new collective agreement introduces enhanced rest provisions for flight crews. These include an increase in rest days, the ability to bank working hours into an account, and an additional day of leave for employees aged 55 and above.

Employees will also have the option to convert part of their 13th-month salary into additional days off. Additionally, the agreement paves the way for the development of an internal remote working policy.

Luxair has announced plans to establish a "joint commission for the Collective Agreement." The airline has also committed to recruiting additional staff to "significantly improve the reliability and practicality of flight schedules."

The new collective agreement will remain in effect until 31 December 2027.