Kenya Airways seeks talks with striking workers; Lonrho shares up +16.3%
Kenya Airways (-0.6%) management will seek dialogue with workers over their new demands on a return-to-work formula signed previously, to avoid a planned strike on 13-Oct-2010.
- Kenya Airways management to engage in dialogue with workers to prevent a planned strike.
- Aviation and Allied Workers Union demands back-dated salary rise, costing an additional USD4 million.
- Lonrho's shares rise by 16.3% due to non-aviation related matters.
- Royal Jordanian and Kuwait National Airways shares decline, while Air Arabia shares show a slight gain.
- Middle East shares experience a general downturn.
- The data is sourced from the Centre for Asia Pacific Aviation and Reuters.
Aviation and Allied Workers Union issued (05-Oct-2010) a seven-day strike notice over the pay dispute, demanding the salary rise to be back-dated by 15 months, which would cost USD4 million (KES325 million) above the initial amount of USD1.6 million (KES129 million) if it were implemented from Oct-2009.
See related CAPA profile: Industrial Relations
Meanwhile, Lonrho's shares rose by +16.3% due to non-aviation related matters regarding the company's fund managers.
Middle East shares were mostly on the downturn with Royal Jordanian (-4.6%) and Kuwait National Airways (-1.2%) down while Air Arabia (+0.4%) shares gained slightly.
Selected African and Middle Eastern airlines share price movements (% change) 07-Oct-2010
