KLM union says wage proposal insufficient, strike still on

AMSTERDAM (Reuters) -KLM's wage proposals this week do not meet the demands of ground staff at the Dutch arm of airline group Air France-KLM, the CNV union said on Friday, adding a strike announced at Amsterdam airport for July 9 will go ahead.

"This means that consultations will not be resumed yet and that the strike announced next Wednesday will continue. We have informed KLM," said Souleiman Amallah, CNV's negotiator, in a statement.

KLM made wage proposals on Wednesday - including a one-off payment of 1,000 euros ($1,177) in 2025 and an up to 2.5% structural increase by July 2026 - after the CNV, one of KLM's two mains unions - announced the July 9 strike.

School holidays begin next week in parts of the Netherlands, meaning the planned eight-hour strike would take place at a very busy time.

"(KLM's new proposals) do not offer enough starting points to resume talks. KLM does make a move and says they have heard the workers. But I fear KLM has not quite understood it yet," Amallah said.

The union's reaction to KLM's offer comes shortly after Air France-KLM unveiled plans to increase its stake in Scandinavian airline SAS to 60.5%, the latest step towards consolidating Europe's fragmented airline sector as carriers seek to strengthen their position against rivals.

($1 = 0.8497 euros)

(Reporting by Benoit Van Overstraeten. Editing by Mark Potter)