Lufthansa says it has not yet reached agreement with unions on crisis package

Lufthansa is working on a $10 billion package to rescue its business as aviation industry struggles to bring back demand after the dealt a heavy blow to airline businesses.

Lufthansa said on Tuesday it had not yet reached an agreement with unions on a package to cut staff costs but added that talks with two unions would continue to try and seal a deal before an extraordinary shareholders meeting on Thursday.

A Lufthansa jet is seen behind a barbed-wire fence at the airport as the spread of coronavirus disease (COVID-19) continues in Frankfurt, Germany. (REUTERS)

The government is trying to broker a 9 billion euro($10.16 billion) bailout for Germany’s flagship carrier, which has been hit hard by a coronavirus-induced travel slump.

Lufthansa said talks with pilot union VC and cabin crew union UFO would be continued ahead of Thursday.

Services union Verdi had said on Monday that further talks had been scheduled for Friday and Lufthansa said this showed that Verdi was not prepared to come to an agreement before the EGM.