The LCGB trade union has announced that, following the cessation of certain group activities due to COVID-19 and the state of emergency throughout the Grand Duchy, Luxair management resorted to short-time working for the month of April 2020; it then informed unions that the company would limit itself to applying compensation for partial unemployment as provided for by legal provisions.
This decision, in the meantime, reveals serious injustices, according to the trade union: in view of the legal provisions which fix the rate of compensation for partial unemployment at 80% of the normal gross hourly wage with a ceiling of 2.5 times the minimum social wage, the lost wages of employees are substantial and vary according to seniority between 20 and 70% of their salary.
Aware of the considerable financial impact of partial unemployment for staff, Luxair agreed in March 2020 to fully compensate all staff for any loss of earnings. Despite fierce discussions during the month, no solution could be found for April 2020.
The unions have demanded a positive gesture towards employees, thus recognising the efforts and the commitment of the staff throughout the last years allowing Luxair to have a good financial situation today. "During this health crisis, it is not enough to guarantee the existence of the group, but also to safeguard the lives of the staff. Corporate solidarity with its staff must be engaged" ran the press release.
The unions, under the initiative of the LCGB as the majority union involved, stated that they had also approached the highest levels of government from the outset, while the Luxembourg state bears direct responsibility. In the absence of immediate action to remedy this situation, the unions stated that "a major social conflict can no longer be excluded when the activities, currently at a standstill, resume."