Dutch government backs KLM bailout after pilots agree to pay cut

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The Dutch government said it was ready to sign off on a 3.4-billion-euro ($3.9-billion) state aid injection for KLM after pilots agreed a five-year pay cut deal.

THE HAGUE: The Dutch government on Tuesday approved a multi-billion-euro coronavirus bailout for struggling airline KLM after pilots agreed a five-year pay cut deal.

Finance Minister Wopke Hoekstra on Saturday dramatically suspended plans to rescue the beleaguered Dutch arm of Air France-KLM after unions refused to budge.

But after KLM announced that the pilots’ union had backed down, the government said it was now ready to sign off on the 3.4-billion-euro ($3.9-billion) state aid injection.

“Intensive consultations” between KLM and the unions led to a “positive outcome”, Hoekstra and Infrastructure Minister Cora van Nieuwenhuizen said in a…

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