Lufthansa, cabin union to enter mediation over Eurowings - source

FRANKFURT (Reuters) - German cabin crew union UFO and Lufthansa unit Eurowings have agreed to a mediation process over pay and working conditions after talks between management and the union broke down last year, a source familiar with the matter said.

Separately, the two sides will hold talks over matters that can't be discussed as part of mediation, such as opportunities for crew to switch to jobs at Eurowings parent Lufthansa, the person added.

Eurowings was not immediately available to comment.

The union has been trying to agree pay contracts for around 400 cabin crew members at budget airline Eurowings for about three years. Union members went on strike in October, forcing around 400 flight cancellations.

Eurowings reached a deal for other cabin crew with rival union Verdi in December, but three-way talks with UFO failed later that month.

(Reporting by Peter Maushagen; Editing by Victoria Bryan)