Summary

  • On June 26, 2024, Lufthansa launched another group airline, Lufthansa City Airlines.
  • Its official statements emphasized that the move was made to strengthen its long-haul Frankfurt Airport (FRA) and Munich Airport (MUC) hubs.
  • However, the airline’s pilots’ union, Vereinigung Cockpit (VC), has criticized the move, saying it was done to circumvent agreements with the union, which has included operational restrictions of Lufthansa CityLine.

On June 26, 2024, the Lufthansa Group marked another important milestone in its history as another airline with an independent air operator’s certificate (AOC) started operations. Named Lufthansa City Airlines, the group officially stated that the airline was established to ensure the strength of its long-haul network that would be complemented by feeder services provided by the newest carrier.

Newest Lufthansa Group airline

The first rumors about the newest Lufthansa Group airline came in early 2022. In March 2022, when Lufthansa Group was presenting its 2021 results, Carsten Spohr, the chief executive officer (CEO) of the group, remarked that the group was planning to establish a second regional airline, akin to Lufthansa CityLine, which would start operations in early 2023, according to a report by AirInsight.

A Lufthansa City Airlines Airbus A319 on an airport apron.

Photo: Lufthansa

At the time, Spohr detailed that the airline was supposed to offer employment opportunities for captains who were previously employed by Germanwings, a Lufthansa Group airline that stopped flying in 2020. During the same announcement, Lufthansa Group detailed that it would shift capacity to airlines with lower costs, with added higher productivity driving down unit costs.

“Regional airlines will take over more short-haul routes, leisure-focused airlines [and] more touristic routes from Network Airlines.”

In March 2023, the Lufthansa Group announced that it would launch its newest airline, called City Airlines, in mid-2023. However, delays have followed since then, and on October 25, 2023, Lufthansa Group said that after the airline had obtained its AOC in June 2023, it would begin operations during the upcoming summer.

Lufthansa Group commercial passenger airlines

Joined the Lufthansa Group

Austrian Airlines

September 2009 (full ownership)

Air Dolomiti

June 2003 (full ownership)

Brussels Airlines

June 2009 (minority stake, full ownership in January 2017)

Discover Airlines

September 2023 (independent AOC)

Edelweiss Air

November 2008

Eurowings

December 31, 2005 (full ownership)

Eurowings Europe

June 2016 (independent AOC)

Lufthansa CityLine

March 1992 (full ownership)

Lufthsansa City Airlines

June 26, 2024

Swiss International Air Lines (SWISS)

July 2007 (full ownership)

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Feeding its long-haul network

In October 2023, the group detailed that Lufthansa City Airlines would operate alongside Lufthansa CityLine, another regional airline that has been owned by the Lufthansa Group, providing feeder services for its long-haul network.

“In order to position City Airlines for the long term, English-speaking pilots are also being considered in the recruitment process for cockpit roles. Applicants with prior experience will be given preference during hiring. For Group employees interested in switching to City Airlines, offers with voluntary switching conditions can be negotiated. This includes Lufthansa CityLine staff in particular.”

Jens Fehlinger, the Managing Director of City Airlines, said at the time that the creation of City Airlines would result in positive prospects in the coming decades, securing sustainable jobs in Germany. This was the only way for us to grow and sustainably strengthen the Frankfurt Airport (FRA) and Munich Airport (MUC) hubs, Fehlinger, who will become the CEO of Swiss International Air Lines (SWISS) on October 1, added.

According to data from the flight tracking website Flightradar24, the airline’s initial route network since it began operations on June 26 has included flights exclusively operated from MUC to five German airports and one airport in the United Kingdom, namely Birmingham Airport (BHX).

Lufthansa City Airlines initial network

Photo: Lufthansa City Airlines

Meanwhile, ch-aviation records showed that Lufthansa City Airlines had taken delivery of four aircraft, namely three Airbus A319ceo, registered as D-ABGH, D-ABGK, and D-ABGP, and one A320neo, registered as D-AIJI. It launched flights with the latter, flying from MUC to BHX on June 26.

Related

Lufthansa City Airlines To Begin Airbus A320neo Flights

While Lufthansa City Airlines’ first aircraft was an Airbus A319ceo, it will begin flying with an Airbus A320neo.

Circumventing unions

However, while officially, Lufthansa Group said that it had launched Lufthansa City Airlines to strengthen the FRA and MUC hubs with better feeder services that would be provided by its newest airline, the airline’s pilots’ union, Vereinigung Cockpit (VC), has provided another side of the story.

Commenting on Sphor’s interview with the Germany-based publication airliners.de in June, VC said that it was puzzled by the group CEO’s comments that Lufthansa CityLine had to be wound down due to the fact that the airline could not use larger than 95-seat aircraft in the future after a deal with the union.

A Lufthansa CityLine Bombardier CRJ-900 taking off

Photo: Markus Mainka | Shutterstock

VC emphasized that Spohr’s comments were “misleading,” adding that the pilot union has repeatedly offered to adjust the so-called ’95-seat rule,’ which would have enabled the continuity of Lufthansa CityLine, with the closing of the airline being unnecessary; VC added.

“In this respect, it is also extremely doubtful whether and to what extent the operation of the new company under the Lufthansa City Airlines brand will be permissible in the future in view of the existing collective bargaining agreements.”

At the time, Spohr told airliners.de that Lufthansa CityLine could not continue operating due to the existing agreement with VC and the fact that the Mitsubishi regional jets, namely the CRJ900s, were approaching the end of their service life. Mitsubishi purchased the assets of the Canadian Regional Jet (CRJ) program in June 2020, despite the fact that Bombardier, the previous owner of the CRJ program, had ceased production of the regional aircraft in December 2020.

Still, Lufthansa Group’s words in October 2023 that the group’s employees can negotiate new conditions to switch from any of the airlines to Lufthansa City Airlines, with the emphasis being on Lufthansa CityLine personnel, now have a different tone, especially considering the union’s view that the latter airline’s days are now numbered.

Related

History: 5 Operational Milestones That Have Defined The Life & Times Of Lufthansa CityLine

A look back at the airline’s growth from an air taxi service to an integral European regional carrier.


  • Tom Boon-169

    Lufthansa

    Region:
    Europe

    Loyalty Program:
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