Italy: Air France-KLM and unions deadlocked on Alitalia takeover

Negotiations between trade unions representing Alitalia employees and Air France-KLM, which is seeking to buy the near-bankrupt Italian airline, broke down in March 2008 over planned job losses.

The unions rejected an Air France-KLM proposal to cut 1,600 jobs at Alitalia (15% of the workforce) and an unspecified number of jobs of the AZ Servizi maintenance company, which is partially owned by the airline.