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Mon, Dec 10, 2007

Cyprus Airways On The Verge Of A Strike

Three-Day Strike Announced By Union

An impending three-day strike at Cyprus Airways could affect over 100 flights and 12,000 air passengers. Cyprus Airway's largest union CYNIKA announced the 24-hour strike for December 12 and a 48 hour strike on December 17-18 after failing to reach an agreement. The announcement flooded its telephone lines with questions from concerned travelers. The airline said the strike will ruin them financially but it was examining how to deal with passenger travel, to ease the situation.

One of the options included leasing other jets to assist in carrying out scheduled flights, but that would cost the airline hundreds of thousands of dollars. The airline's board met to examine what could be done. "All possibilities are being examined," said Cyprus Airways spokesman Kyriacos Kyriacou. He added that the airline's other unions, including pilots, engineers and cabin crew were not on strike, and they could help continue operations.

"Our aim is to do as much as possible to serve the public with the minimum of disruption," he said. There was no comment about calling off the strikes, despite an attempt with the Labor Minister, in an effort to settle the dispute over job transfers.

"We expect a majority in favor," said CYNIKA head Andreas Pierides. "They were ready to go out on strike last week but we told them it must be done in accordance with industrial procedures." The upset is over Cyprus Airway's plans to outsource ground handling services at the airports to Swissport & GAP Vassilopoulos. The airline a national carrier says no jobs will be lost, and it will cut costs, and be able to better carry out its services more effectively.

The company says $4.07 million could be saved yearly. As many as 140 employees would be affected by the shift but Cyprus says their jobs and benefits would be stable. Employees fear their jobs would be shifted to a joint venture company.

The union said the first paragraph of the agreement states that,  "140 people would not be employees of Cyprus Airways as of May 1, 2008." Workers will not agree to this, according to Pierides.

"We want to continue to be regarded as Cyprus Airways employees. This is the minimum we will accept," he said. In the joint venture, Cyprus Air would hold over 25 per cent of shares, giving it a strong voice, in a new contract offered by airport operator Hermes, who has said it wants more competitive ground handling next spring.

Now, Cyprus Airways performs about 20-25 per cent of the total work they wish with Swissport, obtaining the venture agreements wins one of the two licenses being offered by Hermes.

FMI: www.cyprusairways.com/main/default.aspx, www.hermes-cargo.com/HERMES.htm

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