January 11, 2019 / 1:18 PM / 8 months ago

Air France reaches pay deal with ground staff

FILE PHOTO: Tails of Air France airplanes are seen at Charles de Gaulle airport in Roissy, near Paris, France, August 26, 2018. REUTERS/Christian Hartmann/File Photo

(Reuters) - Air France said on Friday it had reached a pay agreement for 2019 with unions representing ground staff, as it seeks to move on from labor disputes which weighed on its results last year.

The deal will provide for pay increases of 1.8 percent, as well as money to finance individual bonuses and measures to make the payment of overtime easier, Air France said.

The airline was hit by a series of costly strikes in 2018, which led to the departure of chief executive Jean-Marc Janaillac in May and his replacement by former Air Canada executive Ben Smith.

On Thursday Air France announced the signing of a new agreement with cabin crew.

“Together with yesterday’s signing of the agreement with Air France cabin crew, this is proof of our dedication to re-establishing trust with all Air France employees,” Smith said in a statement.

The agreements come in addition to an agreement signed in October that drew a line under the standoff with unions. That deal provided for an increase of 2 percent for 2019 for all Air France employees.

The deal with ground staff was signed with the unions CFDT, CFE-CGC, FO and UNSA aerien Air France, the company said.

Reporting by Alan Charlish in Gdynia; editing by Jason Neely

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