Lufthansa and pilots agree on arbitration after a week of strikes

Lufthansa and its pilots' union have agreed on a framework to settle disputes through negotiation and arbitration instead of strikes, after successive pilot and cabin-crew walkouts this spring grounded the airline for about a week during its 100th anniversary year. Those walkouts were said to have cost hundreds of millions of dollars and led to CityLine being shut overnight. HR chief Michael Niggemann said the company must talk with employees rather than about them and build a longer-term basis for cooperation.

One Mile at a Time reports that Lufthansa has a long record of labor conflict and that formal contract talks are still underway, so further industrial action is not off the table. The blog is skeptical that management's words will bring lasting change. It argues that labor peace at Air France-KLM under Ben Smith is one reason Lufthansa may now see calm as a competitive necessity. The carrier is the lowest-margin airline in its group.

A genuine shift would cut the strike risk that has repeatedly disrupted Lufthansa flights, including award tickets and connections. There is nothing to book, so watch whether the arbitration framework actually prevents further Lufthansa strikes.