• Sweden edition
 
SAS in talks while staff prepare for bankruptcy

SAS in talks while staff prepare for bankruptcy

Published: 18 Nov 2012 16:48 GMT+01:00
Updated: 18 Nov 2012 16:48 GMT+01:00

"Negotiations are going shit," SAS chairmain Fritz Schur told Danish radio on Sunday afternoon.

SAS has been holding talks with pilot and cabin crew unions in Copenhagen all weekend to negotiate the terms of salaries, pensions and work conditions outlined in a rescue package that was aimed at salvaging the troubled airline.

A deal must be reached before the SAS board meets on Sunday evening to determine the airline's future, but in the late afternoon the management announced that they would not accept the terms laid out by the unions.

"Unfortunately there is no deal with any of the unions yet," SAS said in a statement.

The pilots' unions had presented their bid shortly after midnight between Saturday and Sunday but it did not come close to fulfilling the SAS management's demands, despite assurances to the contrary from the union's leaders.

Jens Lippestad, chairman for the Norwegian SAS pilots association and head of negotiations for the pilots' unions, had claimed that the Swedish, Danish and Norwegian unions' bid complied with SAS "on all areas, and ensures that negotiations can be completed in a successful manner."

Some success was initially reported from negotiations between SAS and the cabin crew unions.

"We feel SAS is being attentive," one source told the Ritzau news agency.

The Swedish cabin crew union had been cooperating with its Danish and Norwegian counterparts to negotiate a new deal.

"We handed in a joint proposal on Friday...The company has said it wants the same terms in the different countries and that is why we are cooperating," said union press secretary Jennie Zetterström.

But, in the end, SAS management rejected the cabin crews' terms, too.

The company encouraged all staff members who are currently travelling to ensure they have enough cash to manage on their own in case bankruptcy is announced.

The company also ordered all planes to be refuelled so that they can return home in the event of bankruptcy.

Some time after 5.30pm, Schur and two other board members reportedly left Kastrup for Stockholm, where a "crisis meeting" with bank representatives was scheduled for 8pm, daily Dagens Nyheter reported on Sunday night.

TT/The Local/nr

Follow The Local on Twitter

Your comments about this article

18:21 November 18, 2012 by Chuck_Norris
No wonder this is happening to SAS! Last month I was buying a one way flight London - Stockholm, SAS was charging over £450.

A complete absurd out of touch, parallel universe kind of reality!
20:25 November 18, 2012 by djmarko
http://engageinnovate.wordpress.com/2012/11/11/why-sas-will-go-bankrupt-most-probably/

this sums up the SAS crisis pretty accurately!!
20:50 November 18, 2012 by Abe L
Totally absurd that unions actually play a role in this and can essentially bring the company to bankruptcy. I'm baffled the local governments aren't doing anything to prevent this. The Scandinavian market isn't big enough for the level of competition that exists today.

There is no alternative to SAS for the Scandinavian business traveler. It will definitely harm all 3 economies if SAS was to disappear. None of the alternatives have any kind of relevant longhaul destinations and Norwegian doesn't even have business class or sufficient flights to most destinations to benefit from their flexible tickets.

The cabin crew on airplane aren't much more then waitresses on a what is in essence a flying bus. It is nobodies interest to see SAS go bankrupt and have their employees end up in welfare for the taxpayer to deal with.
00:13 November 19, 2012 by Spuds MacKenzie
I'm suppossed to fly SAS on Thursday....and getting very nervous now! I also have 15,000 EuroBonus points with them which I'm hoping don't suddenly become worthless! Ughh! :(
07:37 November 19, 2012 by useronthenet
Governments in both Sweden, Norway and Denmark have already poured a massive amount of money into this organisation. Surely a public enquiry should now take place to give the management a valid explanation why SAS has become almost bankrupt. Many jobs are at stake here, and this issue must be addressed.
07:58 November 19, 2012 by skogsbo
sounds like the unions are going to break the company, then they'll have less members! SAS staff should put the pressure on the unions, a job that is lower paid with poorer pension is better than none. I suspect it's too late and SAS's internal costs have been too high for decades, partly because of the union.

SAS isn't cheap to fly with, it isn't especially luxurious, so the money is being spent somewhere that the passengers never see. Another airline that is more efficient and better managed will fill the gap on their routes.
08:00 November 19, 2012 by mickeyonemore
Too many Chiefs and not enough Indians ! The whole company is top heavy with office staff bleeding the company dry with their wages,expenses etc,etc.

Need to get back to basics and maintain the aircraft,trouble is they have made hundreds of decents engineers redundant over the last ten years and not had a decent apprentice scheme in place to carry on successful maintenance.

Sad day for Scandinavia as a whole but it's been on the cards.

The company has not been managed properly in every department for years.
09:22 November 19, 2012 by Beavis
@abe -nothing to do with buiness class. The obvious issue to why sas is failing is their prices!!! Their european short haul flights (the majority of their business) is way over priced. Considering that in summer fares between for example Dublin and Stockholm go up to 5000kr one way economy (and yet the plane is half full) and there is 2 other airlines flying the route offering a price of 500kr .As alreaqdy stated they have far too many senior management memebers of staff- many of which should be fired (including the ceo who earns the same as the entire board of Norwegian put together!)
Today's headlines
Stockholm 'Russian sub' alert
Search for foreign vessel continues off Stockholm
Minehunter HMS Koster takes part in the search in the Stockholm archipelago on Sunday. Photo: Marko Säävälä/TT

Search for foreign vessel continues off Stockholm

Sweden's armed forces were continuing to search for the cause of apparent "foreign underwater activity" in the Stockholm Archipelago on Monday. But the military denied news agency reports that they had imposed an exclusion zone. READ  

Ebola crisis
Sweden hit by two Ebola false alarms in two days
The Uppsala University Hospital. Photo: TT

Sweden hit by two Ebola false alarms in two days

UPDATED: A patient has been cleared of any Ebola suspicions at the Uppsala University Hospital. It marks the second suspected case in Sweden in two days. READ  

Perspective: ‘Russian sub’ alert
Why a foreign vessel lurks in Swedish waters
The HMS Stockholm patrols Jungfrufjärden in the Stockholm archipelago on Monday morning. Photo: Anders Wiklund/TT

Why a foreign vessel lurks in Swedish waters

With Sweden engaged in its biggest domestic military operation since the Cold War, The Local spoke to Johan Wiktorin, a fellow at the Swedish Royal Academy of War Sciences, to get insight into what’s going on in the Stockholm archipelago. READ  

My Swedish Career
US woman starts up Swedish toy store online
Leigh Neil and a llama hand puppet. Photo: Private

US woman starts up Swedish toy store online

For this week's My Swedish Career we meet Leigh Neil, who one day came to realize that there was a gap in the Swedish market for children's toys and decided to do something about it. READ  

Stockholm 'Russian sub' alert
No truth to Russia's submarine claim: Dutch
A CB90-class fast assault craft at Kullbäling, a small island in Stockholm's archipelago. Photo: Anders Wiklund/TT

No truth to Russia's submarine claim: Dutch

The Netherlands on Monday denied a Russian claim that a mystery vessel the Swedish military has been looking for could be Dutch. READ  

Lufthansa Strike
Over 20 Swedish flights hit by Lufthansa strike
Grounded Lufthansa planes. Photo: TT

Over 20 Swedish flights hit by Lufthansa strike

A strike by pilots at German airline Lufthansa will affect over 20 flights in and out of Sweden over the next two days. READ  

National
Dentist gives free care to Roma beggars
Photo: Shutterstock

Dentist gives free care to Roma beggars

A dentist in western Sweden is offering free dental care to his town's Roma begging population. READ  

Business & Money
Electrolux profit soars after cost-cutting efforts
Photo: TT

Electrolux profit soars after cost-cutting efforts

Swedish electrical appliance maker Electrolux reported its third-quarter net profit soared 42 percent to 933 million kronor ($130 million) thanks to a cost-cutting programme started at the end of last year. READ  

National
School photographer fired for homophobic slur
Photo credit: Shutterstock

School photographer fired for homophobic slur

A photographer at a high school in southern Sweden was sacked after he called one of the students a "fag" during a shoot. READ  

Ebola crisis
Patient in isolation after airport Ebola alert

Patient in isolation after airport Ebola alert

A male passenger who landed at Stockholm's Arlanda airport has been transferred to an isolation unit amid fears he may be suffering from the Ebola virus. But a specialist was keen to play down concerns. READ  

RECEIVE OUR NEWSLETTER AND ALERTS
Gallery
PHOTOS: 'Foreign activity' in Swedish waters
National
Sweden deploys troops over underwater threat
Gallery
People-watching: October 19th
TT
Society
QUIZ: How good is your Swedish?
Business & Money
Get your own office in Gothenburg or Stockholm - free for a day
Blog updates

19 October

Getting it (Blogweiser) »

"Follow Joel Sherwood on FB Few watch baseball in Sweden. This is excellent when your team loses..." READ »

 

17 October

Editor’s Blog, Oct 17th (The Local Sweden) »

"Hi readers, Here’s the whole week of news in just 60 seconds. The most-read story was about a..." READ »

 
 
 
National
A Touch of Scandinavia: Reindeer in the kitchen
Lifestyle
What's on in Sweden: October 17th - 24th
Society
The nudity... and nine other things expat men notice in Sweden
Gallery
People-watching: October 15th
Gallery
Your views: Should outdoor smoking be banned in Sweden?
Business & Money
Sweden has 'large hole' in finances
Sponsored Article
Introducing... Finding a job in Stockholm
Society
Monster salmon caught in northern Sweden
Gallery
Property of the week: Lorensberg
National
Scandinavia's child bride
National
Ebola crisis: How is Sweden preparing?
Lifestyle
Sweden's The Bridge to become 'more Danish'
Business & Money
How Sweden is becoming a cashless society
Gallery
Stockholm Burlesque Festival 2014
National
How a little red horse became a symbol for Sweden
Gallery
People-watching: October 12th
Business & Money
The hottest start-ups from southern Sweden
National
What's on in Sweden: October 10th - 17th
National
Stockholm is 'best' region for well-being
Gallery
People-watching: October 8th
National
Five facts to know about Patrick Modiano
Society
My Swedish Career: A French fashionista in Sweden
Society
Swede's anti-bully Facebook tale goes viral
Society
Have you seen Sweden's viral subway cancer campaign?
National
Isis: Swedes linked to Turkish prisoner swap
National
Should Swedes be banned from buying sex abroad?
Gallery
Fredrik Reinfeldt's leaving presents
National
Five Swedish TV shows you shouldn't miss
Gallery
A tool belt, a casserole, and a book. Fredrik Reinfeldt's parliament gifts
TT
Lifestyle
Top five winter festivals in Sweden
TT
National
Sami reindeer herders win mine reprieve
Gallery
Property of the Week: Gamla Enskede
Sponsored Article
How to catch the first lobster of the year
Politics
Ten new minister faces you should know
Tech
First womb transplant baby in world born in Sweden
Gallery
People-watching: October 5th
National
What's on in Sweden
National
Sweden rethinks Afghan translators' protection
Society
Interview with Geena Davis: 'I want to be in a Swedish movie'
Gallery
Stefan Löfven through the years
Team SCA
Sponsored Article
All-female SCA team takes off on Volvo Ocean Race
Latest news from The Local in Austria

More news from Austria at thelocal.at

Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Germany

More news from Germany at thelocal.de

Latest news from The Local in Denmark

More news from Denmark at thelocal.dk

Latest news from The Local in Spain

More news from Spain at thelocal.es

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

990
jobs available
Swedish Down Town Consulting & Productions
Swedish Down Town Consulting & Productions is an innovative business company which provides valuable assistance with the Swedish Authorities, Swedish language practice and general communications. Call 073-100 47 81 or visit:
www.swedishdowntown.com
PSD Media
PSD Media is marketing company that offers innovative solutions for online retailers. We provide modern solutions that help increase traffic and raise conversion. Visit our site at:
http://psdmedia.se
If you want to drink, that’s your business.
If you want to stop, we can help.

Learn more about English-language Alcoholics Anonymous in Sweden. No dues. No fees. Confidentiality assured.
AA-EUROPE.ORG/SWEDEN