Scandinavian airline SAS canceled more than 500 flights scheduled for Wednesday,...
STOCKHOLM - Scandinavian airline SAS canceled more than 500 flights scheduled for Wednesday, which will ground some 47,000 passengers, as a strike by pilots entered a fifth day with no sign of talks between management and unions.
SAS, which is part-owned by the Swedish and Danish governments, said that union demands entailed “significant cost increases” that would threaten competitiveness and jobs. The SAS Pilot Group, a union body representing 95 percent of the airline’s pilots in Denmark, Norway and Sweden, has said the dispute concerns more than simply wages, pointing to demands for more predictable and transparent working hours.
“We believe investors will remain lukewarm as long as the earnings trend remains negative and as the pilots’ strike puts the targeted 3 billion crown cost savings by 2020 in jeopardy,” it said in a note.The aviation industry’s employer body in Sweden has said pilots sought a 13 percent wage hike despite what it called already high average wages of 93,000 Swedish crowns a month, demands it labeled as “extreme”.
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