The unions have, however, decided to enter a process of conciliation. This process allows all parties to continue negotiating involving a third party mediator.

This decision by the unions is regretted by the airline.

In its offer, the company had agreed to re-instate the CWA until 31st December 2014 in return for the unions agreeing to a U$ 12.5 million reduction in employee costs for the airline’s 2014 financial year.

It was also agreed by the airline that productivity and efficiency improvements would be the first priority in reaching this target. Only in the event of the target not being achieved through these measures would other employee cost savings measures be effected. Even in this instance, the unions would be given the first opportunity of identifying which additional measures would be introduced. Only in the event of the unions not being able to identify such additional measures, would management use its discretion.

In addition, management had agreed to reimburse, up to U$ 6.25 million, of any savings achieved through the implementation of other employee cost savings, provided the financial targets of the company were achieved for its 2014 financial year.

Cargolux believes that it has made significant concessions to the unions in trying to find an agreement, which it still considers within reach. Cargolux therefore remains hopeful that the unions will be open for a continuation of the discussions.

The airline remains focused on improving its financial sustainability in an industry that is suffering one of its worst downturns.