Employees of Luxembourg’s international airline Cargolux have launched strike action on September 14, local time, and will continue indefinitely. The reason for the strike was that negotiations between the union and management failed to reach an agreement. On the second day of the strike, planes were grounded across the world. This is the largest cargo airline in Europe, and its strike has a great impact on European transportation. This is the first strike in Cargolux’s 50-year history. The strike, the airline’s first in 50 years, brought huge losses to the company, costing many dollars per plane and hour.
The strike was initiated by the LCGB (Luxembourg Confederation of Christian Trade Unions) and OGBL (Independent Luxembourg Trade Union Confederation) and involved many employees. On the day it was launched, hundreds of workers gathered outside the company to express their determination to strike and claimed that they would need to find a satisfactory solution. The next day, the entire freighter fleet was taken out of service for a strike, and Luxembourg’s aircraft were grounded worldwide. Later, the two sides fell into a protracted stalemate. Employees of the LCGB union said that pilots, technicians and ground staff were actively involved in this strike and demanded a result.
Cargolux is a cargo airline. The company has two hubs, one is the Luxembourg European and American hub in Europe and the United States, and the other is the related Asia-Pacific hub. Cargolux is Europe’s largest scheduled all-cargo airline. Cargo Luxembourg was established in 1970 and has a history of more than 50 years. The company operates a fleet of 30 Boeing 747 freighters. The Boeing 747 is recognized as one of the most powerful cargo aircraft in the cargo industry, capable of transporting oversized and overweight cargo.
At this time, neither the company’s management nor the union have made further negotiations or public statements. The union has announced that the strike is indefinite. This puts a lot of pressure on the trucking company, because the shutdown means huge and endless losses. Even if the government steps in to mediate, it only plays a role as a middleman. The government will not directly intervene in labor disputes. It just hopes that both parties can reach a settlement as soon as possible. The main conflict in this strike is salary, and there are differences between the two sides on the salary increase plan. Cargolux’s plan is for a 5% pay increase over five years, while the union’s demand is for a 6% pay increase over four years. Cargolux believes that its plan is more reasonable and provides a series of data to support it. The union doesn’t think so. They provide their own data to support it and point out that employees’ wages have not increased for many years in the past. Unions protect the interests of employees in many ways, and companies make plans based on their own perspective and expectations for the economic future. The contradiction between the two is difficult to reconcile.
For shippers, many freight shipments will be forced to standstill due to the Cargolux strike. Sellers who have plans to ship goods recently should always pay attention to the news in this area. There will be relatively big changes in these shipping plans recently. If you encounter some emergencies, it is best to make a delivery plan when you are mentally prepared to minimize your losses. Due to the uncertainty of the strike, especially during the long holidays in China, shippers should arrange time for shipments reasonably.
