SWISS reaches agreement with its ground personnel

21 March 2005

SWISS management has reached an agreement with the delegations from its KV Switzerland, VPOD Air Transport and PUSH unions on a new Collective Labour Agreement for Swiss-based ground personnel which will enter into effect on April 1, 2005. The parties also agreed on the simultaneous entry into effect of a new severance benefits plan.

The new Collective Labour Agreement (CLA) and severance benefits plan for Swiss-based ground personnel have been concluded following SWISS’s notice to terminate the existing CLA on March 31, 2005. The partners have now reached agreement on a new CLA following difficult but always constructive negotiations held against a background of sizeable uncertainties. The new CLA pays due and full regard to the current corporate restructuring and the intensified competitive environment, but also guarantees employees continued socially-acceptable employment terms and conditions.

The new agreement must now be formally approved by the bodies responsible at the various social partners. KV Switzerland, VPOD and PUSH members will decide whether to accept the proposed new agreement at the end of March. In view of this, no further details can be provided until such time of the content of the agreement concluded.

The conclusion of the new CLA will avoid a situation in which the company’s Swiss-based ground personnel would not have been subject to any collective working agreement from April 1, 2005 onwards. It also ensures that the personnel concerned remain committed to maintaining industrial peace.