Scandinavian Airlines avoid open strike by pilots

Scandinavian Airlines (SAS) pilots have postponed a declared open strike as negotiations between company management and unions have been extended for the second time.

“The negotiators, together with SAS and the pilots’ union SAS Scandinavia, have decided to postpone the strike again,” the airline said in a statement.

The strike deadline set by the unions was mostly on Wednesday, but was moved to Saturday.

The deadline has now been extended to Monday noon, although further delays may be announced.

The pilots are protesting the pay cuts demanded by management as part of a restructuring plan aimed at ensuring the continuation of the company, which has suffered losses since the outbreak of the Corona virus in early 2020.

In February, Scandinavian Airlines management announced a savings plan called “SAS Forward” and in June added a capital increase plan of around 1 billion euros.

Denmark, which together with Sweden holds the largest share of the shares at 21.8 percent each, announced in June that it was ready to increase its stake to 30 percent.

Sweden refused to provide the money, but indicated its willingness to convert its debt into equity.

Norway, which withdrew from SAS in 2018, said it was ready to return to the company, but only by converting debt into equity.

The prospect of a massive strike affecting Scandinavian airlines comes amid signs of a rough summer ahead of European airlines and airports, which are facing severe labor shortages affecting air travel in many countries.

Source: AFP.

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