Austrian Times RSS FeedsLike the Austrian Times Facebook page!Follow us on Twitter!


Events for October
M T W T F S S
29 30 1 2 3 4 5
6 7 8 9 10 11 12
13 14 15 16 17 18 19
20 21 22 23 24 25 26
27 28 29 30 31 1 2
Add your event FREE

Today

Videos


BurgKino

Pub Quiz everyTuesday at Johnny's Pub

Popular in Austria


Cosmo&Nanu

Lufthansa focuses on AUA's premium area

Lufthansa has denied that its planned activity increase in Berlin is company-internal competition for Austrian Airlines (AUA).

The carrier, which was founded in 1953, will offer four times more seats in three months’ time when a new airport is put in operation in the German capital city. Lufthansa currently does business at more than 220 airports all over the world. It will concentrate on Eastern Europe (EE) when operations at the new airport in Berlin start later this year.

AUA was taken over by Lufthansa in what was widely seen as the final option to protect the company from bankruptcy in 2009. The Viennese airline succeeds with its services to destinations in EE while other branches of the company are in trouble. A spokesman for Lufthansa said yesterday (Thurs) that his airline’s plan to offer more flights to EE was a declaration of war to AUA. He argued that it would be a mistake not to consider an expansion of operations in EE since many parts of the region show promising economic developments.

Lufthansa said earlier this week that it suffered a net loss of 13 million Euros last year. The carrier made a profit of 1.1 billion Euros in the previous year. Lufthansa managed to increase its turnover by eight per cent from 2010 to 2011 to 28.7 billion Euros. Lufthansa sold struggling affiliate British Midlands (BMI) to competitor British Airways last December for 207 million Euros. The German aviation company was forced to write off 285 million Euros at BMI shortly before the deal was sealed.

Bosses of Lufthansa – a Star Alliance member – argued that rising kerosene prices caused immense pressure last year. German and Austrian business papers report that the company – which is Europe’s largest airline in terms of passenger figures and fleet size – is ready to lay off hundreds of AUA staff if the Austrian affiliate’s works council refuses to accept a reform of contracts.

AUA supervisory board boss Stefan Lauer’s suggestions would mean that AUA pilots’ wages shrink by up to 25 per cent in the coming years. They currently earn 13,000 Euros before tax a month. Lufthansa chiefs and AUA supervisory panel members want to lower their incomes to volumes comparably to what Tyrolean Airways (Austrian Arrows) pilots earn at the moment. Pilots of the regional carrier, which is part of the AUA Group, receive around 7,000 Euros.

A decision regarding the salary controversy and other austerity measures is expected for later this month as Lufthansa wants AUA CEO Jaan Albrecht to sort out the issues soon. The German carrier wants AUA to make a profit this year. Lufthansa’s "plan b" for AUA is to drastically reduce its workforce level and fleet size, according to the press. AUA suffered a loss of almost 65 million Euros last year. It performed similarly in 2010 while passenger numbers are on the rise. AUA registered 11.26 million customers in 2011, up by 3.4 per cent compared to 2010.

Austrian Times


Are you on Facebook? Like the Austrian Times on Facebook and win great prizes!


Cosmo and Nanu
ORF Watch

Related articles: EU

  1. Best of the bookshelf in May, part four

    » Panorama 2012-05-31

    A Harvard University professor’s book on the killing of Osama Bin Laden, a collection of funny experiences on planes and many more interesting releases are out now.

  2. Drachma reintroduction 'would mean social explosion'

    » General News 2012-05-31

    A renowned economist has warned from reintroducing the drachma in Greece.

  3. EC warns debt-ridden Austria

    » General News 2012-05-31

    Austria has been criticised for its high public debts.

more related articles tagged "EU"

Related articles: crisis

  1. Drachma reintroduction 'would mean social explosion'

    » General News 2012-05-31

    A renowned economist has warned from reintroducing the drachma in Greece.

  2. EC warns debt-ridden Austria

    » General News 2012-05-31

    Austria has been criticised for its high public debts.

  3. Property prices keep climbing

    » Business 2012-05-31

    A real estate expert has expressed concerns about property prices in Austria.

more related articles tagged "crisis"

Related articles: CEE news

  1. AUA under pressure as pilots quit

    » Business 2012-05-30

    The number of pilots and stewardesses leaving Austrian Airlines (AUA) because of the upcoming pay cuts is on the rise.

  2. Pay cuts scare off AUA pilots

    » Business 2012-05-29

    Dozens of pilots have left Austrian Airlines (AUA) in the past weeks, according to the loss-making carrier’s works committee.

  3. Austrian skiers create overnight stay record

    » Business 2012-05-29

    The number of winter season overnight stays by Austrians has reached a new record.

more related articles tagged "CEE news"

Related articles: business boom

  1. Austrian skiers create overnight stay record

    » Business 2012-05-29

    The number of winter season overnight stays by Austrians has reached a new record.

  2. Knoflacher emphasises pedestrian zones' economic effects

    » General News 2012-05-24

    A renowned traffic planner has stressed that shop owners are generally appreciating the introduction of pedestrian zones.

  3. IV demands focus on industry in crisis

    » Business 2012-05-24

    The general secretary of the Federation of Austrian Industries (IV) has appealed on Europe’s political leaders to strengthen the continent’s industry.

more related articles tagged "business boom"

Related articles: AUA

  1. AUA under pressure as pilots quit

    » Business 2012-05-30

    The number of pilots and stewardesses leaving Austrian Airlines (AUA) because of the upcoming pay cuts is on the rise.

  2. Pay cuts scare off AUA pilots

    » Business 2012-05-29

    Dozens of pilots have left Austrian Airlines (AUA) in the past weeks, according to the loss-making carrier’s works committee.

  3. FW turnover takes off

    » Business 2012-05-24

    Austria’s biggest airport has managed to increase its profit.

more related articles tagged "AUA"

Tag cloud:
British  Berlin  German  airline  Airways  currently  profit  Austrian  airport  rsquo  affiliate  supervisory  region  Europe  billion  Lufthansa  fleet  Euros  carrier  ndash

Latest News

 

Halloween At The Zoo
Pumpkin pie might be the order of the day for people this Halloween but now zoo animals are also getting in on the act.

Baby Naked Mole Rats Born In Vienna
With their pink hairless bodies and fangs for front teeth, these baby naked mole rats were never going to win any cuteness contests at Schonbrunn Zoo in the Austrian capital Vienna.

Jihad Girls Gunpoint Retraction Of Desire To Go Home
Austrian anti-terrorism police believe that an interview given to a French magazine allegedly with one of the two teenage girls who fled to Syria to join in the jihad was probably carried out at gunpoint.

Get Shorty As Confused Bald Ibis Gets Lost Again
A rare bald Ibis that seems to have a different sense of direction to her fellow birds has once again had to be rescued after getting stuck trying to find a different route to the southern Italian feeding ground.

Alpine Trains Venture Into Space As The Final Frontier
Austria’s national railway line the OeBB has raised eyebrows after offering themed toilets including one that is supposed to "look and smell like outer space".

MEP caught In Brit papers Fraud Probe Jailed
A corrupt MEP caught by a British newspaper offering to propose amendments to EU laws in exchange for 100,000 euros a year has been given a three-year-jail term.

Vienna Jihad Girls Want To Come Home
The two Austrian teenage girls who became ‘poster girls’ for the jihad in Syria are now desperate to come home after getting completely disillusioned with their new lifestyles.

Mega-Station Opens
There was a festival atmosphere as Bundespresident Heinz Fischer opened Vienna's new Hauptbahnhof Friday morning.

Apple Truck Causes Traffic Jam
When 24 tonnes of apples are catapulted across a road it can only mean a jam.

Farmer Cleared Over Wolf Shooting
Furious animal rights campaigners have accused an Austrian farmer of lying after he shot dead a wolf that he claimed he thought was a fox.

 


Mala Vrata

The most popular stories –
last 7 days



Don't moan alone, the Ombudsman Investigates.

Why suffer in silence. Let off steam by letting our readers share your troubles. File your complaints about anything and everything here.

Our ombudsman David Rogers will try and help solve some of the problems from lazy civil servants through to incompetent companies – and at the very least the worst transgressors will end up in our weekly special report.


Austrian Zimmers