Fraport AG: Company's Management and Works Council Agree on Measures in Response to Possible Traffic Loss

Frankfurt, Germany (ots) - Fraport AG has prepared a package of coordinated contingency measures to be implemented in the case of an Iraq war and its possible impact on international aviation. An agreement on this issue, presented by Fraport's executive board, was adopted today by the company's works council.

Above all, the goal is to avoid or to minimize as much as possible the impact of an Iraq conflict on Fraport's corporate development. The focus of this package is on reviewing investment spending and material costs. Under the agreement adopted by the works council, Fraport AG will be able to react appropriately in terms of personnel deployment, when actual traffic figures deviate strongly from the planning target. By flexibly adapting personnel deployment to changing demand, Fraport intends to prevent business-related layoffs and to avoid staff income losses. This contingency plan comprises three phases. The decision on individual measures to be taken will depend on the degree to which the latest extrapolated traffic figures for the full year fall short of the planning target or to which the actual values on a weekly basis deviate from the target figures. Fraport will present the respective current figures; then the company's management and works council will jointly decide which phase is applicable. Independent of reaching the so-called activation values, this detailed agreement between the works council and employer gives Fraport the flexibility to carry out temporary and permanent internal job transfers - basically right from the outbreak of the crisis.

The contingency package agreed by the executive board and works council includes reducing overtime hours and accumulated flextime hours, reducing the use of external and temporary staff, implementing a hiring freeze and, in particular, increasing the flexibility of working hours. As a last resort - when traffic figures fall significantly short of the target - Fraport's catalog of measures calls for delaying, reducing or temporarily suspending various social benefits (such as the company's years-of-service premium), not taking on apprentices after completion of their training, and introducing short-work weeks.