FRANKFURT (dpa-AFX) - The newest airline from Germany's Lufthansa Group,
feeder airline City Airlines, is due to depart on its inaugural
flight on Wednesday without collective agreements for airline staff.

The first departure scheduled is at 9:10 am (0710GMT) from Munich
headed for the central English city of Birmingham.

On Tuesday, the pilots' union Vereinigung Cockpit (VC) and the flight
attendants' union UFO confirmed that no agreement on the working
conditions had been reached with the new airline.

This means that the transfer of staff from the existing subsidiary
Lufthansa Cityline to the new company remains unclear.

The existing Cityline is expected to be wound down and replaced by
the new City Airlines. Lufthansa chief executive Carsten Spohr had
repeatedly pointed to restrictions on Cityline in the existing
collective bargaining agreement as a key reason for the move.

The new City Airlines has offered voluntary transferees a bonus
equivalent to one year's salary to make the jump.

However, the cabin crew union UFO has advised its members not to
accept the offer, as many of the conditions unilaterally set by the
airline on things like pay and working hours lag behind those under
the collective bargaining deal at Cityline.

The Lufthansa Group intends to equip the new company for short and
medium-haul routes with five aircraft before the end of this year.

In addition to Munich, the Lufthansa Group says that Frankfurt will
follow next year as a second base and the City Airlines fleet is
planned to grow by at least eight more jets.

A further 40 aircraft have been ordered for delivery after 2026.


Copyright dpa