Strikes at Lufthansa threaten efforts to capitalise on Gulf disruption
Travel turmoil caused by industrial action a ‘significant handicap’ as carrier tries to benefit from war
Lufthansa is facing one of the most significant strike disruptions in years, hampering the German airline group’s efforts to capitalise on the disruption affecting Gulf rivals owing to the war in Iran.
The company is facing five straight days of strikes by either cabin crew or pilots, grounding hundreds of flights. Lufthansa pilots walked out on Monday and Tuesday and are set to renew their strike on Thursday and Friday. Flight attendants will begin a two-day strike on Wednesday after another 24-hour work stoppage on Friday last week.
Lufthansa said it was offering a third of its usual services during the pilot strike on Monday and Tuesday.
The war has hit Middle East hubs such as Doha, Abu Dhabi and Dubai and opened a window of opportunity for European airlines to grab market share from rivals on lucrative long-haul routes.
Along with other European airlines, Lufthansa reported strong demand for destinations in Africa and Asia at the start of the conflict, and it added new services to its flight plan to scoop up passengers who otherwise would have travelled via the Gulf.
However, concerns over the reliability of Lufthansa’s services could push customers to opt for its rivals, said aviation analyst John Strickland, who called the escalation in the labour dispute with both pilots and cabin crew a “significant handicap” to the carrier’s efforts to benefit from the war.
Lufthansa was “trying to make the best of a challenging and unpredictable conflict situation . . . but it is hampered by industrial relations issues within the company”, he added.
On Wednesday, cabin staff planned to picket an anniversary event at Frankfurt airport to celebrate 100 years since the founding of Lufthansa, which will be attended by German Chancellor Friedrich Merz.
Cabin crew are striking over a new collective bargaining agreement as well as protection for workers at Lufthansa CityLine, which is set to cease operations. Pilots, meanwhile, have demanded higher pension contributions from the airline group, which operates hubs in Frankfurt and Munich.
The flight chaos caused by the strikes comes as airlines are contending with soaring jet fuel prices in the wake of the closure of the Strait of Hormuz and disruption to air traffic.
Lufthansa said there was little room to meet worker demands as the airline looks to cut costs and lift its profitability.
The latest round of strikes showed unions’ “complete indifference to the fate of our passengers and the future of Lufthansa”, the airline group’s human resources chief Michael Niggemann said. The industrial action was “irresponsible” coming in the face of “global political tension and significant risks to our business”, he added.
Lufthansa and rival European airlines have argued against the EU’s aviation deal with Qatar and others like it, claiming they offered free access to non-EU airlines, which do not have to meet the same environmental standards or face limits on state support.