Business

Lufthansa and pilots union settle dispute

Pilots at Frankfurt airport
Image caption Lufthansa pilots went on strike earlier this year

German airline Lufthansa, Europe's largest, has settled a lengthy dispute with pilots union Vereinigung Cockpit.

In return for greater job security, the union has accepted a pay freeze until March 2011.

However, the union says the agreement still needs to be agreed by its members.

In February, pilots went on strike over pay and job security, but called off a four-day stoppage in April after agreeing to arbitration talks.

Like other airlines, Lufthansa is trying to push through cost-cutting plans in the face of the global financial crisis, rising fuel costs and competition from low-cost rivals.

Cabin crew at rival British Airways have staged a series of strikes so far in 2010.

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