Wednesday, September 23, 2009

LOT to cut up to 900 jobs

According to labor unions at LOT Polish Airlines, the managment plans to lay off 900 people. So far the planned reductions amounted to half of mentioned number. Unionist threatened to conduct a strike if an agreement with the menagement will not succeed.

The airline spokesperson explained the lay-offs are necessary in order to save the entire company. He was reluctant to give any number of possible redundancies. Currently about 3,500 people are employed by LOT.

First firings are expected to take place in October. To block the lay-offs unionists have taken the case to court. They claim that management plans are contradictory to collective work contract. Labor unions have also proposed voluntary suspension of bonuses and other extra payments, which should bring 90 million PLN, while the planned lay-offs are expected to give just 60 million PLN.

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