CY unions given 24-hour extension to give their views on compromise

CYPRUS Airways (CY) unions, which had been due to give their answers yesterday to a mediation proposal, were given another 24 hours to respond after two unions said they were still not ready.

Sources with the Labour Ministry close to the negotiations said that the pilots union PASIPY and the engineers union ASSYSEKA had asked for more time. The sources also said that the airline’s biggest union CYNIKA had asked for more clarifications.

“They didn’t say no,” said the source.

The unions were originally supposed to give their answers more than a week ago but were offered an extension from the November 30 deadline.

CY management last week responded positively to the Labour Minister’s compromise, which incorporates large parts of a strategic plan designed to save the ailing carrier, although the company said it was not 100 per cent happy with the results.

The original plan, with its proposals for fleet withdrawal, cost cutting, major redundancies and outsourcing had far-reaching effect on personnel and was rejected by the unions, who still feel the current proposal in many ways is closer to CY’s positions than their own, although many of the provisions have been “watered down”.

The company needs to secure £22 million in concessions from the unions to offset £30 million in losses for the first half of this year with an even bleaker outlook for the full 12 months.

CY says it does not even have the £6 million it needs to find in the next two weeks to cover £4 million in December salaries and £2 million for 13th salaries, which are normally paid out on December 15.

The government, particularly the Labour Ministry and the Communications Ministry has been urging the unions to make their decision quickly as time is running out to turn the company around financially.

Labour Minister Christos Taliadoros said yesterday he hoped the unions’ responses would be positive.

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