Alitalia union CISL conditionally backs Alitalia rescue plan

Italy's powerful workers union CISL has half-heartedly decided to throw its weight behind the rescue plan for the flag carrier Alitalia's.

The move marks the first sign of progress in crucial labour talks as part of the rescue plan, even as other unions have are still threatening not to go with the deal. CISL is one of the largest unions of the airline, and union backing is key to resurrecting Alitalia as part of its government-sponsored rescue plan.

The rescue plan will see the airline split into two, with an Italian investor group buying the carrier's profitable assets, while the loss making parts are spun off into a separate company and liquidated, with Alitalia emerging as a smaller, leaner airline once the process is completed.

Raffaele Bonanni, head of the CISL union, has said that he would support the rescue plan if provided with guarantees, which include union representation on the airline's new board. He also wanted the Italian investors to have a five-year lock-in period during which they would not be able to sell their stakes, and clauses included to prevent a takeover by a foreign partner.

Air France - KLM plans to launch a non-binding bid for the Austrian government's share of Austrian Airlines. Intesa Sanpaolo, Italian banking giant that is Alitalia's adviser for the airline's rescue plan will also present the plan to British Airways in the coming weeks, according to media reports.
(See: Air France - KLM seeks a share of the in consolidation pie through minority stakes in Austrian, Alitalia and BA to get to see Alitalia's rescue plan)

Reuters quoted Guglielmo Epifani, the leader of another powerful Alitalia union CGIL, as saying that the union could support the deal if the Italian consortium were to increase the number of flights and planes foreseen under the plan.

Earlier in the year, a possible deal with Air-France – KLM was the casualty of union action. Alitalia's unions as known for for staging strikes and dictating strategy on account of their political clout.