Finnair has warned that up to 90 pilot positions may be at risk as it enters a new phase of labor negotiations with the Finnish Transport Pilots’ Association (SLL). The airline is considering personnel reductions or furloughs due to the ongoing deadlock over a new collective labor agreement. With discussions set to resume on February 12, tensions remain high, as industrial action by pilots has already caused significant disruption to Finnair’s operations.
The labor dispute stems from the expiration of a pandemic-era agreement that was signed in April 2021. That agreement introduced significant structural changes, including adjustments to pilot salaries and work schedules based on seasonal demand. However, since its expiration in September 2024, the absence of a new deal has triggered work stoppages and restrictions, particularly in overtime and standby duties.
These measures, imposed by the SLL, led to widespread cancellations of regional and long-haul flights. Although the union temporarily lifted these restrictions during the peak Christmas travel season, they resumed in early January, further complicating negotiations.
One of the most significant potential consequences of the labor dispute is Finnair’s partnership with Qantas. In May 2023, Finnair leased two Airbus A330 aircraft to the Australian airline, with Finnair crews operating flights from Singapore and Bangkok to Sydney. This arrangement, which helped offset the limitations imposed by the closure of Russian airspace, now appears to be in jeopardy.
Finnair revealed in a statement that the pilot union’s extended standby ban now includes flights on this route, impacting the airline’s ability to fulfill its contractual obligations to Qantas. As a result, Finnair has initiated discussions with its Australian partner to assess future options, including the possible termination of the agreement. The two-year contract with Qantas is set for renewal in 2025, making this a crucial juncture in their collaboration.
Should the agreement be canceled, it would directly affect the workload of Finnair pilots, particularly the 90 crew members currently dedicated to operating these flights.
Kaisa Aalto-Luoto, Finnair’s Chief People Officer, expressed regret over the deteriorating situation, stating, “It is sad that the pilot union’s prolonged industrial action has led to a situation where we have to start change negotiations. Today is a tough day for all of us at Finnair.”
Aalto-Luoto emphasized that in the airline’s 101-year history, pilot layoffs due to operational challenges have never been necessary. Even when Russian airspace restrictions disrupted key flight routes, the airline managed to retain pilot jobs through alternative operational arrangements.
Finnair maintains that including standby duty in pilot contracts is essential for ensuring reliable flight operations, aligning with industry norms. However, the union insists that standby duty should be voluntary, leading to a prolonged impasse.
Finnair’s labor dispute reflects broader trends in the aviation industry, where negotiations between management and employee unions have become increasingly contentious. In 2023, Boeing’s production suffered from a 53-day machinists’ strike in Seattle, while airlines such as United Airlines, Lufthansa, and Alaska Airlines have also faced labor disputes.
With negotiations stretching into their sixth month and independent mediators involved since November, Finnair’s conflict with its pilots remains unresolved. As discussions resume, the airline faces mounting pressure to balance operational stability with fair labor agreements, making the coming weeks critical for its workforce and international partnerships.