Lufthansa and Verdi Reach Collective Agreement for Ground Staff

German airline Lufthansa has reached a collective labor agreement with the trade union Verdi, settling the wage dispute with its approximately 20,000 ground staff. 

The news follows weeks of strikes at major German airports that disrupted travel, forcing flight cancelations and stranding passengers. Lufthansa and Verdi reached the deal during arbitration. 

Under the new agreement, ground staff will receive a salary increase of 12.5% and a one-time payment of €3,000 to offset inflation. Other improvements include increased holiday pay supplement, extensive packages for trainees, and more. The contract term is to be at least 24 months. 

“We are very pleased that we have come to a compromise together, and my express thanks also go to the two arbitrators,” said Dr. Michael Niggemann, chief human resources officer and labor director of Deutsche Lufthansa AG. “The past few weeks have demanded a great deal from both our guests and our colleagues. The agreement that has now been reached is therefore good news.”

The union has been demanding a pay increase of 12.5% and an inflation compensation bonus of €3,000 for twelve months. Lufthansa initially offered a 10% increase. 

Verdi represents the ground staff of Deutsche Lufthansa, Lufthansa Technik, Lufthansa Cargo, and other companies.