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(15/03/23)
 Finnair has reached an agreement with the
airline’s cabin crew, concluding the change negotiations it
started in November and discontinuing the subcontracting plan for
inflight services on routes to/from Thailand and North America.

The savings agreement is valid until the end of
2025.

Finnair had earlier agreed on savings with pilots,
senior white-collar employees and engineers, as well as cabin crew based
in Japan and Korea, and made local agreements that increase
efficiency in Finnair Technical Services and different ground
operation units. Those savings agreements covered 87% of Finnair’s
personnel.

“We are pleased that we have been able to find
solutions together with our employees,” said Johanna Karppi,
Senior Vice President, People and Culture at Finnair. “The double
crisis caused by the COVID19 pandemic and the closure of Russian
airspace has had a major impact on Finnair’s finances. The
agreements with our employees support our important goal of
restoring profitability. We are grateful that our employees have
been willing to contribute to solving our profitability challenge
to safeguard the future of Finnair and jobs at Finnair.”

The cabin crew’s agreement includes, among other
things, elements to increase the efficiency of cabin crew usage,
changes to long-day compensation and, for example, changes to the
crew layover hotel rules.

With the agreement, cabin crew is
included in Finnair’s staff incentive plan 2023-2025, along with
all other employee groups who have made savings agreements.

The
staff incentive plan will produce a payout in the first quarter of
2026 if Finnair achieves the EBIT margin target set in the plan.

About 1,750 employees work as Finnair cabin crew
in Finland.

In connection with the savings agreement, it was
also agreed that the collective agreement applicable to Finnair’s
cabin crew in Finland will be extended by one year, until 31
January 2025.

In addition, a negotiation result was achieved on
salary settlement for 2023 and 2024, which follows the general
line of the technology industry. The salary settlement is subject
to administrative approval.

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