Austrian Air, Pilots Make Wage Deal Progress

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Published: April 25, 2012

Lufthansa unit Austrian Airlines has struck a tentative accord with pilots and flight attendants that could head off AUA’s plans to shift their contracts to a sister company with less generous terms, according to media reports.

The agreement, which still must be ratified, calls for buying out on-board staff’s current contracts and replacing them with a new deal at the same pay but without automatic pay rises, several media outlets said on Wednesday.

Austrian Airlines had no immediate comment.

The loss-making carrier’s original plan had set the stage for a legal battle with representatives of the 600 pilots and 1,500 flight attendants affected by the move, which would have taken place as early as July.

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