Cargolux CV Jumbo; Credit: Cargolux

After more than one year of intense negotiations, the management of Cargolux and Luxembourg trade unions, the LCGB and the OGBL, today signed two new collective work agreements for Europe’s largest all-cargo airline.

One agreement will cover the period between 1 December 2018 and 31 December 2019 and the second will become effective as of 1 January 2020 until 31 December 2022. These take into account both the well-being of employees and the company’s continued stability. 

The two agreements will result in substantial improvements for the more than 1,300 employees covered by the airline’s collective work agreement. The improvements include a salary increase of 6% for ground staff and 4% for pilots over the four-year duration of the contracts. Staff hired since December 2015 will benefit significantly from additional adjustments of salaries, days off and holiday entitlements, bringing all staff to similar levels. These collective working agreements also guarantee security of employment for the airline’s employees.

Richard Forson, Cargolux President and Chief Executive Officer, commented: “I am pleased that we have managed to reach an agreement with our social partners. This agreement cements job security within our company while contributing to Cargolux’s sustainability on both social and economic fronts".

Paul de Araujo, LCGB Secretary, added: “The improvements in the new agreement became necessary after the employees' concessions made in the previous collective labour agreement. The new agreement addresses the main concerns of our members; a salary increase, improved work-life balance for employees and the pilots’ flight time limitations. The elimination of what has often been referred to as ‘B-Scale’ should make it possible for Cargolux to hire the staff it needs”. 

Indeed, these new agreements aim to enhance Cargolux’s ability to recruit additional required staff and also to remain one of the employers of choice in the industry and in Luxembourg.