On July 21 KLM received an ultimatum from FNV on the final collective agreement proposal that KLM did to the ground staff unions. The ultimatum stated that FNV would proceeds to actions if KLM did not indicate in a written response before Tuesday, July 26th, 2016 that it would agree with the (partially new) FNV demands.
KLM is very disappointed with the current course of FNV. KLM understands that working conditions are important for all employees. However, with the implementation of the KLM proposal, the benefits at KLM are and continue to be excellent compared to other companies in the Netherlands and other airlines. The reality is that the world has changed around us and KLM must go along. Recent benchmarks show that the difference with competitors’ collective agreements is still great despite last year’s agreement. To invest, grow and retain jobs, it is imperative that we reduce our costs by increasing productivity in accordance with the agreed targets.
KLM has integrated the important points of the unions prior to the ultimatum; the proposals have been seriously edited and KLM made a new comprehensive proposal, which includes several productivity-enhancing measures, a payment of 1,600 euros, a significantly improved profit-sharing plan, a structural salary increase on January 1, 2018, employment protection, compensation of the reduced legal pension modified by law in 2016, a training programme with a value of millions of euros and permanent jobs for temporary workers. KLM believes that this is a balanced proposal that will bring growth, employment and financial benefits to the staff. Further modifications to the proposal will bring KLM out of the market and make growth plans and ambitions unattainable.
Nevertheless, KLM will assess the content of the FNV proposal. Other ground staff unions have indicated that they see no reason to take action on the latest KLM proposal and will present this in a neutral way to their members.