Air France and KLM Will Stay Together Despite Recent Turmoil: KLM CEO


Skift Take

KLM CEO Pieter Elbers is honest. He knows some of his employees question why KLM, which is thriving, needs its long-term marriage to Air France. But Elbers knows that in airlines, the biggest carrier usually wins. Plus, he knows there's no other way forward. For better or worse, Air France and KLM are probably together forever.

The doomsday scenario for Air France-KLM — that Air France disappears while KLM emerges as an independent airline based in Amsterdam— is highly unlikely to occur and is "not a relevant discussion," KLM CEO Pieter Elbers, one of the three executives temporarily running the company, said Sunday in an interview. The Franco-Dutch airline is in turmoil. KLM continues to thrive, but Air France is struggling to reach friendly terms with labor unions, and ongoing strikes and labor actions over the past several years have crippled it. In May, the CEO of Air France-KLM, Jean-Marc Janaillac, resigned after France pilots, cabin crew and ground staff rejected his offer of moderate raises in a referendum. The French government, which owns a significant portion of the company, has signaled it will not rescue Air France if it needs help. The board temporarily replaced Janaillac with what Elbers called a "triumvirate" of three executives — Elbers, Air France CEO Franck Terner, and Frederic Gagey, chief financial offer of Air France-KLM. All also handle their existin