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EVA Air threatens suspending pay raises, year-end bonuses if flight attendants strike

EVA Air threatens wage freeze, suspending year-end bonuses to make up for lost profits if flight attendants strike

EVA Air threatens suspending pay raises, year-end bonuses if flight attendants strike

(Wikimedia Commons photo)

TAIPEI (Taiwan News) -- EVA Air announced on Wednesday (May 8) that it would freeze salary increases and suspend year-end bonuses to compensate for lost profits for all company employees if flight attendants go on strike.

Labor disputes between the Taoyuan Flight Attendants Union (TFAU) and EVA Air have intensified since the union announced last month that would hold a vote on a strike by its EVA Air members at some point between May 13 and June 6.

EVA Air issued a press release on Wednesday stating that the recent actions and comments by the trade union have hurt the company and caused the bookings and the load factor to drop substantially this month. Once the strike takes place, the company claimed the financial impact is expected to be even greater.

EVA Air said that it had told all of its employees through an internal memo on Wednesday that if the strike leads to a sharp decline in profits or even losses, the airline will suspend year-end bonuses and annual pay raises until the company returns to profitability.

In addition, the airline said that because the company's operations will face a significant impact during the strike, it may also need to suspend the unlimited number of free tickets, unlimited discounted tickets, and unlimited ZED (Zonal Employee Discount) fares offered to employees and their immediate relatives.

However, in order to encourage all aircrews and ground workers to support the company during the strike and to avoid damaging the rights and interests of passengers, no such restriction shall apply to those who are on duty during the strike and cooperate with the adjustment of the airline's schedule.

The union countered that Article 25 of the Labor Union Act (工會法) states that employees should not be subjected to improper acts or unfavorable treatment, such as repression, because they join trade unions, participate in trade union activities, or hold trade union posts and support strikes. The law also states that the company may not improperly influence, hinder, or restrict the organization or activities of trade unions.

Updated : 2021-11-27 08:34 GMT+08:00