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Wednesday November 19, 2008
Reuters
Striking Mechanics Ground Serbia's JAT Airways

Aircraft mechanics at Serbian flag carrier JAT Airways launched a new strike over pay late on Thursday, the third to hit the company in six months, halting the carrier's international and domestic flights.

Pilots and aircraft engineers will have their own union meetings later in the day to decide whether to join the strike.

The protest began after the government, which appointed an interim administrator a month ago and launched the restructuring of JAT, failed to pay three months' wages to its workers.

"Some say we will be sacked because of the strike. But we will not stop until our demands are met. JAT is potentially a profitable company, but somehow we post losses," leader of the mechanics' union Dragan Bogdanovic said.

JAT has a USD$298 million debt to foreign and domestic creditors and posted a USD$33 million loss in 2004.

"This strike is totally illegal. They were informed they would get some payments today, but for some reason they decided to go on with the strike," said Milos Aligrudic, the head of JAT's managing board.

The striking workers said it was equally illegal to pay the workers a one-off 9,000 dinars (USD$149.3) since January without a pay slip specifying what the payment was for.

The board is now looking into ways of restoring air traffic, which may include hiring aircraft from other airlines.

Pilots said they did not believe JAT would be able to lease planes and crews as their colleagues at international airlines were expected to show solidarity as they did in the past.

Striking mechanics are also seeking more detail on planned spin-offs of JAT's non-core businesses, which include technical maintenance services. JAT will keep the unit as its subsidiary and later look for a foreign partner for it.

The core business will keep some 1,500 workers out of 3,700 now employed at JAT.

(Reuters)

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