A planned bonus package for Lufthansa executives violates the terms of the state aid the German airline received in 2020, according to Steffen Hebestreit, spokesman for Chancellor Olaf Scholz.

Lufthansa has repaid the emergency loan of a total of 9 billion euros, and the German state has also sold the shares it received in exchange for the loan at a profit. But the conditions of the support still apply, which would mean that retroactive bonuses to managers cannot be paid out, according to Hebestreit.

"We have to discuss these two interpretations of the legal situation with Lufthansa and see what the outcome is. There are agreements in place and from our point of view, what Lufthansa is planning is in conflict with them," he says.

Lufthansa has so far not wanted to comment on the issue.

Hebestreit's statement comes after German unions VC and UFO - which represent pilots and cabin crew - said they were surprised to hear that Lufthansa's management team would receive large bonus payments for the years 2021 and 2022.

According to the unions, Lufthansa management does not seem to see the ”signal value” of such bonuses. Instead, they want to see extra pay increases for all employees in the face of inflation and the energy crisis.

Source: TT-DI.SE