The KLM Dutch airline company is postponing a 2.5% salary increase, despite agreements reached with unions last year to implement the raise, The Guardian reports.
A KLM spokesperson stated: "KLM is in a crisis of unprecedented magnitude since the outbreak of the Covid-19 virus. Our half-year results for 2020 were the worst ever. To survive, KLM must take measures to lower costs."
Last month, the Dutch government agreed on a €3.4bn bailout package, but apparently that did not suffice. KLM's management stated that the airline is currently losing $11.8 million per day.
The FNV union reacted with anger to the news, saying it is considering taking legal action to force KLM to honor its agreement.