[AMcWhirter]

Just been announced in France.

Air France’s unions have called for a strike lasting June 23 through June 26.

[Edski777]

Again??? You better start reporting on when they do fly!

[capetonianm]

I have taken the precaution, as I am travelling on 25th June on a journey which partly crosses that miserable strike-bound country, of booking by rail. There is no guarantee that the rail unions won’t be on strike as well, it’s simply the lesser of two evils.

It really is time that France had a leader worthy of the name, who might take a stance against the unions that cause such disruption, misery, and expense. Pigs might fly.

[AMcWhirter]

The unions have called for four days of strike action, in other words from June 23 to June 26 inclusive, unless there is a breakthrough with AF management beforehand.

Reports in French.

https://www.lemonde.fr/economie/article/2018/06/08/air-france-quatre-jours-de-greve-prevus-fin-juin-et-conditionnes-aux-annonces-de-la-direction_5311992_3234.html

https://www.lesechos.fr/industrie-services/tourisme-transport/0301783984075-le-bras-de-fer-reprend-chez-air-france-avec-un-nouveau-preavis-de-greve-fin-juin-2182588.php

[capetonianm]

From the article in Les Echos, which is a respected French financial medium :

Summer season reservations affected :
The only certainty is that this latest warning won’t solve things for AF, which has already lost 76,000 passengers in May compared to May 2017. Bookings for the critical July and August period will be affected equally, with an unusually high number of cancellations. Some sources estimate that this strike could cost up to €400 million.
Even before this latest strike warning, AF shares dropped sharply.

[Edski777]

The main problem: there is no one to negotiate with at AF at the moment. With the resignation of Mr. de Janaillac there is an interim CEO, but this lady has no authority to come to an agreement with the unions. First of all a new CEO will have to be found and appointed. This episode seems like a cynical attempt by the unions to force their way through, before the leadership crisis at AF/KL is solved.
Again it will be the passengers, the investors and KLM that are suffering.

It seems that it will have to become much, much worse at AF before it gets better. It looks as if the unions have a strategy to bleed AF/KL dry, get their requested salary increase and trust that the French government will bail AF/KL out again. The problem is that the French government is in deep financial troubles already with the recent bail out of SNCF and the financial requirements set by the EU on state subsidies and a government debt higher than 60% of the GDP.

We have an interesting few weeks ahead again. It is about time that the economic reality starts to sink in.

[AMcWhirter]

Report on Aviation24.be covering today’s statement from Air France.

Air France statement on unions call for further strike actions on 23, 24, 25 and 26 June

[Author]

Posts