This meeting was chaired by Mr. GATEAU, following the departure of Mr. NANTY, our former Chairman.
A new Secretary General of the Air France KLM Group should be appointed very quickly and will be our new President.
1. SITUATION OF THE GROUP IN EUROPE
The meeting started with the presentation of Mr. ter Voert with a positive picture on the European market situation, things look promising for the coming months.
The four pillars of the business plan focus on customer, revenue, efficiency and staff.
Despite the good results and optimistic prospects, the CGEAFKL insisted that these results are only possible thanks to the involvement, professionalism and hard work of Air France KLM's teams and their subsidiaries in Europe.
We have requested that the social indicators, linked to the Group's female and male staff, be detailed in the Management's presentations too.
The Management agreed to have a staff indicator in the top KPIs and the AFKLEWC Chairman asked attention for the NPS currently developed by Air France for staff, to see if we can develop a joint NPS for AF and KL staff.
Continuing his presentation, Mr Barry ter Voert explained to us what the creation of a European aviation platform entails, and the AFKLEWC feels that they should be very attentive to the implementation of this platform and what it will mean in terms of extra workload.
Attention was asked for the situation of the reorganization plan for Madrid Airport and the effects on the staff. There is now a question on the agreement on the 45 days / month of seniority. If this agreement has been given, Mr. Ter Voert has committed to respect it. The AFKLEWC will follow this subject closely.
One off the biggest request from the teams in the UK is the limited broadband availability. It is a technical issue and the appeal to Mr. ter Voert is: give us the tools and we will fix the job. Mr. ter Voert will take this up and make sure it is solved.
The AFKLEWC was offended by the implication that older AFKL employees could be replaced by younger ones as part of the company target. The EWC see several risks in such a target, for the staff indeed, but even so for the company, and the EWC will continue the dialogue with the company on the subject.
Moreover, the activity of Cargo and Line Maintenance are never mentioned in these presentations and we ask that they are included from now on.
Closing the Europe presentation, AFKLEWC mentioned that rest of questions on behalf of the members – not stated due to time shortage – will be gathered and send to Mr. ter Voert to comment.
2. REFLECT SURVEY
Many questions were raised on this very important issue for employees in European countries.
The stated aim of this survey is to improve communication between local delegations and the head office.
The progress of this survey is not uniform across Europe. Your representatives at the AFKLEWC will follow these developments closely and we called for better sharing of local good social practices.
Also as stated above Cargo, Line Maintenance as all the company’s departments in Europe eg. BlueLink, should be part of all staff surveys.
3. ACQUISITION OF EQUITY STAKES
The Chairman of the AFKL Group Mr Janaillac came to explain the evolution of strategic partnerships, investments and evolution of Air France KLM's capital structure. The entry into the capital of Delta Group and China Eastern, the evolution of the transatlantic joint venture (JV), the future of our JVs with the Chinese companies and the purchase of 31% of Virgin Atlantic are all key strategic decisions. The possibility for the Group to distribute Group shares to ALL Group employees was also requested
The President did not commit to this request!
4. ADJUSTMENT OF THE AFKL GROUP ORGANIZATION PROJECT
The aim is to bring together all the entities dealing with strategy in a single Group department. And also to ensure proximity to innovation and brand strategy.
As the Dutch and French authorities had to be consulted, the AFKLEWC requested that we be consulted at the end of the process.
5. DEVELOPMENT OF THE NORTH ATLANTIC NORTH JV
This is a strategic and very important issue. A large part of the Group's turnover is generated on these North Atlantic lines.
However, not everything has been negotiated and settled on this issue.
The AFKL EWC will again be consulted and will have to give an opinion on the evolution of this joint venture. All the more so as we will be very attentive to the evolution of changes, and in particular of jobs in the UK, Virgin's natural market.
6. ELECTION OF A MEMBER TO THE BOARD OF DIRECTORS OF AFKL (CA)
In accordance with French law and the appointment of directors from Delta and China Eastern to the Board of Directors of AFKL it has been derived that the CGEAFKL needed to appoint an extra member representing the Group's employees to the Board.
After having decided that the second employee representative should be an employee of KLM Netherlands (the first being Air France, France), the CGEAFKL unanimously appointed Mr. Mathi BOUTS - KLM's PNC.
7. WINTER 17 PROGRAMME OF THE AFKL GROUP (AF/KL/HOP! /TO)
For the winter season, AFKL Group capacity increased by 5.5%, with growth of 4.9% for the AFKL Passenger business and 14.6 % for Transavia (FR and NL).
For Paris CDG, growth will be +4.3% and +10.3% for Amsterdam Schiphol.
At this point the CGEAFKL paid tribute to the involvement of the AF, KL and BlueLink teams and those of Saint Martin and the entire region during the cyclones.
We regretted that the programme of Transavia NL was not presented to us. It will be sent by email in the next few days...
The Cargo programme is also missing from this presentation! We have asked Management to communicate it to us. There should also be a focus on the HOP program! who is experiencing severe operational difficulties and is forgotten by our leaders.
With Air France, KLM, Transavia, HOP! Joon, Virgin,... watch out for the multiplication of brands!
8. FINANCIAL RESULTS OF THE AFKL GROUP
For the second quarter of 2017, results improved thanks to strong traffic and improved unit revenue.
It should be noted that the debt has been significantly reduced by 20%.
For the rest of the year, capacity growth is expected to be between 3 and 3.5%. The entry of Delta and China Eastern into the capital of the Group will reduce the Group's debt.
9. JOON - LAUNCHING OF A NEW COMPANY
Joon's President and HR Director presented this new airline, a wholly-owned subsidiary of Air France.
This airline will use Air France pilots following a signed agreement.
1000 new cabin crew employees will be hired by 2020, of which we do not know the remuneration or the rules of use, except that they will be at the lowest standards. All other services will be performed by Air France teams.
The first flights are scheduled for 01 December from CDG to Barcelona, Berlin, Lisbon and Porto.
Then 2 long haul flights in the summer of 2018, to Fortaleza (Brazil) and Mahé (Seychelles).
To start with, 6, then 11 A320s will operate, and by the summer of 2018,4 A340s will operate.
By 2021, 18 A320/A321 aircraft will be transferred from AF to Joon and 10 A350s.
The AFKL EWC regrets that in order to resume Air France's growth, a new company has been created which hires PNCs on much lower social terms than Air France.
The AFKLEWC noted that in the processing process, AF charters Joon. At this stage, Joon is a crewed aircraft rental company (wet lease). Joon's revenues are derived from the ACMI (Aircraft Crew Maintenance Insurance - rental contract) invoiced to AF with a margin + rental cost coverage.
Joon's communication is not sufficiently backed up by Air France, whereas the ground distribution and ground handling process is handled by Air France. Several members of the Committee reported that we risked losing our clientele in a message perceived as scrambled. We also asked that sales teams be well trained and informed about Joon products.
The Air France-KLM Group has adopted a revised charter setting out the values and fundamental rights that constitute its identity and guide its labour relations policy.
On July 10, the revised Social Rights and Ethics Charter of the Air France-KLM Group has been signed by Alexandre de Juniac, Chairman of the Air France-KLM Group, Camiel Eurlings, CEO of KLM and Frédéric Gagey, CEO of Air France, by the General Secretary of the European Works Council (AF-KL EWC) François Cabrera and the Deputies Secretary General of the EWC.
The Charter, which has been revised for an illimited period, sets out the values and fundamental rights that constitute Air France-KLM identity and guide its labour relations policy.
The aim of the Charter is to “foster a climate of enhanced mutual trust and respect in a work environment in which no form of discrimination or harassment may be tolerated.” The undertakings given satisfy this aim, namely the promotion of social rights, respect for health, safety and dignity in the workplace, equal opportunity, implementation of a social dialogue based on trust, environmental protection, and sustainable development, and ensuring that these same principles are complied with by subcontractors. In addition, the fact that the Corporate Social Responsibility Statement signed on 6 July 2006 has been annexed to the document demonstrates the Group’s determination to set the example in terms of corporate social responsibility and sustainable development.