Dutch Reject KLM Cost-Cutting Plan Linked to Government Bailout
This article is for subscribers only.
The Netherlands has rejected a cost-cutting plan put forth by Air France-KLM’s Dutch arm and withheld a portion of a 3.4 billion-euro ($4 billion) government bailout until it approves the restructuring plan.
The Dutch government won’t grant a second tranche of state aid because pilot union VNV rejected a pay cut, Finance Minister Wopke Hoekstra and Infrastructure and Water Management Minister Cora van Nieuwenhuizen wrote in a letter to parliament on Saturday.