Half-owned by the governments of the three countries, SAS has suffered from increasing competition from budget airlines. Pilots staged wildcat strikes earlier this year, grounding hundreds of flights, to protest planned contract changes they claimed would make their jobs conditions worse.
SAS says the pilots will receive 2.4 percent pay increases. They would be employed by the national subsidiaries, which is what they protested against, at the same time maintaining employment in the SAS group. According to the president of the pilots’ union, staying in the group means they would retain seniority for promotions.
In other business news, Volvo Trucks says its deliveries rose 1 percent in January through April, amid healthy demand in its key European and American markets.
Already strong demand for heavy duty trucks has continued, as customers have brought forward purchases, ahead of new environmental legislation goes into effect later in the year. The world’s second largest truck maker says deliveries in Europe rose 8 percent, while those in America were up 14 percent.