Tag Archives: productivity management

Iberia’s non-pilot workers call off any further strikes after reaching a compromise deal

Iberia (Madrid) may finally have some labor peace at least with its non-pilot workers. Most of the companies’ unions have called off any further strikes over job and salary cuts after accepting a compromise offer from a government-appointed mediator. However this deal does not include the pilots represented by SEPLA. The airline issued this statement:

Iberia and the unions representing 93% of its employees have agreed to the set of proposals made by mediator Gregorio Tudela with regard to the airline’s viability plan.

The signing of the agreement, which is binding on all employees since it was accepted by a majority, signifies the calling off the strike scheduled for March 18-22, and the withdrawal of the company’s plan for mass dismissals. The flight program will proceed normally next week.

Management said that the acceptance of the mediator’s proposals will oblige it to change many aspects of the initial viability plan, but considers it is worth it to reach an agreement, expressing its gratitude to Tudela, a university law professor, and describing it as a good starting point for restoring profitability, hence future viability.

Iberia will immediately ask unions to negotiate the measures needed to raise productivity. Management said the proposed staff reduction and wage cuts were a step in the right direction, but that they must be accompanied by specific productivity measures to ensure future sustainability.

The airline’s CEO, Rafael Sánchez-Lozano, said he was “satisfied to have achieved an agreement that enables us to advance towards a leaner, more viable Iberia, able to compete on more reasonable terms in the difficult commercial aviation business”. He added: “we all had to concede something, but the company is totally committed to keep negotiating with the unions about all the productivity elements that are required to return Iberia to the forefront of the world airline industry”. Sánchez-Lozano said: “the time has come for all of us to work together to build a future, and to apologise to customers for the inconveniences caused in recent weeks, in the hope that we can soon regain their trust. All employees will be involved in these efforts.”

The company regrets that the SEPLA pilots union remains outside the agreement reached, calling it “irresponsible, and showing no solidarity”, while expressing the hope that it will soon join the other unions in coming to terms for the good of the airline and its customers.

What will be SEPLA’s next move? Read the analysis by Reuters: CLICK HERE

Copyright Photo: Rolf Wallner. Iberia wants to updated its 1977 Lander livery with a new design if it can obtain labor peace. Airbus A320-214 EC-JFN (msn 2391) taxies at Zurich.
Iberia: AG Slide Show