The aviation sector has been badly affected by the Covid-19 crisis.
The Luxembourgish airline has seen its position in the market deteriorate even further since the previous meeting. It is particularly impacted by arbitrary border closures and frequently changing travel restrictions, explained Minister for Mobility François Bausch.
During a previous tripartite meeting, employers had agreed to a job guarantee. The new agreement covers the establishment of an employment maintenance plan and a redeployment unit.
20% of Luxair personnel, around 600 people, are affected. Half of them are expected to be offered early retirement, while others will either be internally reassigned or loaned out to other companies by way of the redeployment unit.
The government has committed to financing these measures via the redeployment unit. The cost is estimated at 50 million euros over three years. But a legal basis for this measure will have to be established, as the current limit of how many people can go through this process is too low.
Over the next three years, the social partners of the tripartite will meet twice a year for updates.
While the unions are not happy about the situation, they welcome the fact that no jobs will be lost. Additionally, the current collective convention will be extended for three years, with a salary freeze.
