Cargolux reaches agreement with the unions

Aug 6, 2019: Cargolux and unions LCGB and OGBL have finally reached on two new collective work agreements (CWAs), after more than one year of intense negotiations.

According to the Luxembourg-based all-cargo airline, the two agreements will result in substantial improvements for the more than 1,300 employees covered by the airline’s collective work agreement.

The airline informed: “The improvements include a salary increase of 6 percent for ground staff and 4 percent for pilots over the 4-year duration of the contracts.”

These new agreements will enhance Cargolux’s ability to recruit additional required staff.

One agreement covers the period between December 1, 2018 and December 31, 2019 and the second will become effective as of January 1, 2020 until December 31, 2022.

Staff hired since December 2015 will benefit significantly from additional adjustments of salaries, off- day and vacation entitlements, bringing all staff to similar levels. These CWAs provide security of employment for the airline’s employees.

“I am pleased that we have managed to reach an agreement with our social partners. This agreement cements job security within our company while contributing to Cargolux’s sustainability on both social and economic fronts,” says Richard Forson, president and chief executive officer, Cargolux.

“The improvements in the new agreement became necessary after the employees' concessions made in the previous collective labour agreement. The new agreement addresses the main concerns of our members; a salary increase, improved work-life balance for employees and the pilots’ flight time limitations. The elimination of what has often been referred to as ‘B-Scale’ should make it possible for Cargolux to hire the staff it needs,” comments Paul de Araujo, LCGB Union Secretary.

“We are happy that the social partners could negotiate a substantial salary increase and measures improving the work life balance of Cargolux employees. This is a very important recognition of the employees’ efforts during the last years and their contribution to the good financial results of the company for all Cargolux employees, ground staff and pilots,” says Michelle Cloos, central secretary, OGBL.