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Alitalia nears rescue deal

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Alitalia nears rescue deal

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Italy’s biggest unions have clinched a provisional deal to save stricken airline Alitalia from potential collapse. Italy’s four main unions have accepted a rescue package from the Italian consortium CAI. Despite the breakthrough, five other unions representing pilots and cabin crews oppose the plan.

Under the proposals, 3000 jobs will go with the new Alitalia employing 12,500 staff. The company will also get a one billion euro cash pot for future investment. With last ditch talks taking place in Rome, unions have been working hard to strike the best deal for workers. Luigi Angeletti, from the UIL union said: ‘‘We’ve done all we can to guarantee jobs for the majority of workers at Alitalia. ‘‘We have also guaranteed the rest 80 percent of their salary, a condition unique to other workers in Italy,’‘ he said.

Alitalia, now operating under bankruptcy, risks becoming the first national European airline to go bust since Swissair in 2001.