Dutch airline KLM and unions reach agreement

AMSTERDAM (Reuters) – KLM, the Dutch arm of Air France KLM, and unions have come to a collective labour agreement after weeks of unrest, the Dutch airline announced on Thursday in a press release.

The agreement includes a two step pay increase totalling 4% for ground crew with a minimum monthly increase of 80 euros before tax in each phase to ensure that the financial position of those on lower incomes is strengthened.

“Sky-high inflation, declining purchasing power, high work pressure and the tight labour market are new circumstances to which KLM must respond”, the airline said in a statement.

KLM and Schiphol Airport, which serves as KLM’s hub, have been unable to fill thousands of job openings since the COVID-19 pandemic.

Travel at Schiphol, Europe’s third-busiest airport, has been disrupted frequently since April due to shortages of security workers and baggage handlers. Hundreds of flights have been cancelled, and long lines have become routine.

(Reporting by Charlotte Van Campenhout; Editing by Kirsten Donovan)