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Troubled SAS swerves, pilots strike indefinitely

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2022-07-04 12:59:08

Threats of an indefinite strike by beleaguered Scandinavian Airlines (SAS) pilots were delayed again on Saturday as talks between management and unions extended again.

"The mediator, together with SAS and the Scandinavian Pilots Union of SAS Scandinavia, has decided to further delay the strike," the airline said in a statement.

The strike deadline set by the union was 3 days, but it was postponed to 6 days.

It has now been extended to noon on Monday, although further delays are possible.

The pilots protested management's demand for pay cuts as part of a company restructuring plan to ensure the company's survival.The company has suffered a string of losses since the start of thecoronavirus pandemic in early 2020.

SAS management announced a savings plan called "SAS Forward" in February, and it was supplemented in June with a capital increase of nearly 1 billion euros.

Denmark is Sweden's largest shareholder with 21.8% each.In June, Denmark said it was ready to increase its stake to 30 percent.

Sweden has refused to provide new funding, but is willing to convert debt into capital.

Norwegian had left SAS in 2018 and said it was ready to return to the airline, but only if debt was converted into equity.

The potential mass strike at Scandinavian Airlines comes as European airlines and airports face a difficult summer, with staff shortages affecting traffic.

Airlines and airports in many countries are struggling to recruit new staff after widespread layoffs related to Covid-19.

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