After the agreement in the collective bargaining dispute, the salaries of Lufthansa ground staff are to increase by up to 18 percent. The employees will receive more pay in two stages over a period of 24 months, as the Verdi union and the company announced on Thursday in Frankfurt.

In addition, an inflation compensation bonus of 3,000 euros and other allowances were agreed. The agreement was reached with the help of a three-day mediation led by Thuringia’s Prime Minister Bodo Ramelow and the former head of the Federal Employment Agency, Frank-Jürgen Weise.

According to Lufthansa, the average increase in salaries by the end of next year will be 12.5 percent. Lower and middle wage groups are raised above average using base amounts. This also contributes to Lufthansa remaining an attractive employer, explained Human Resources Director Michael Niggemann.

Verdi had originally demanded 12.5 percent more money for a term of one year, while before the arbitration the company had offered 10 percent within 28 months. Verdi had organized five rounds of warning strikes in the collective bargaining dispute and prepared for indefinite strikes with a strike vote. Now the result must be confirmed in a member survey, which should be completed by mid-April.