South Korea’s government used rarely enacted emergency powers in December to end a pilots’ strike at flag carrier Korean Air (KAL).

Unionised KAL pilots launched their indefinite strike after negotiations with management on pay issues broke down. The strike badly affected the airline’s operations for several days and prompted the government to use emergency powers to force the pilots to return to work.

KAL said the strike was expected to cost it 25 billion won ($25 million) a day from lost revenue as well as costs associated with accommodating passengers affected by flight cancellations. It says the Flight Crew Union, which represents the pilots, demanded 6.5% pay rises as well as a 50% increase in bonuses, while the airline offered a 2.5% increase in basic pay and 50% increases in bonuses. ■

Source: Airline Business