'Details on Air France plan needed to end standoff'

Image
IANS Paris
Last Updated : Oct 13 2015 | 5:22 PM IST

France's main flag carrier, Air France, will further detail its strategic plan of massive layoffs to trim costs, and listen to angry unions' demands following last week's scuffles, French Labour Minister Myriam El Khmori said on Tuesday.

"When a company faces difficulties, the management needs to put its strategy on the table and listen to proposals," Xinhua news agency quoted El Khomri as saying.

"We cannot ask efforts (workers) if they do not have all the elements of the strategy," she said, adding "dialogue is resumed and I hope this will bring result quickly."

The prosecutor in the suburbs of Paris ordered earlier to prolong the custody of six employees at Air France Cargo division. They were suspected of the violent protest on October 5 that forced executive members to suspend meeting.

As part of its cost-cutting programme, the French company announced to cut 2,900 jobs by 2017, including 1,700 ground staff, 900 cabin crew and 300 pilots.

It also planned to reduce the long-haul business by 10 percent over the period with a major focus on low-profit destinations, mainly in Asia and the Middle East.

Under its Perform 2020 plan, Air France plans to trim 1.5 percent in unit costs per year between 2015-2017 and to report positive free cash flow every year by the base businesses.

*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Oct 13 2015 | 5:12 PM IST

Next Story