FRANKFURT (Reuters) - Lufthansa and cabin crew have agreed to mediation in a dispute over retirement benefits after talks failed on Friday, adding to the risk of further costly labor strikes at the German airline.
"The position of Lufthansa fell short of what had already been agreed, so further negotiations could not bring any progress," Nicoley Baublies, the head of cabin crew union UFO, which represents 18,000 workers at Lufthansa, said in a statement on Monday.
The German airline is squabbling with employees on multiple fronts as it tries to cut costs wherever it can to compete with low-cost carriers like Ryanair and easyJet as well as with Gulf carriers like Emirates.
Its pilots staged 10 strikes in a row over an early retirement scheme last year, costing Lufthansa close to 200 million euros ($232.3 million) in operating profit, and last week threatened to walk out again in the coming weeks if no agreement was reached.
Cabin crew union UFO is also currently balloting workers on whether to take industrial action.
(Reporting by Peter Maushagen; Writing by Maria Sheahan; Editing by Harro ten Wolde)
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