Lufthansa Executive Board: Bonuses in the millions despite Corona state aid? | tagesschau.de

For two and a half years, Europe’s largest airline group has been going through its worst crisis to date due to Corona. The federal government had stepped in with billions due to the impending insolvency. Now the executive committee has to be further remunerated.

Apparently the members of the executive board of Lufthansa are also expected to receive a bonus for 2021. In the year of the crisis, the airline received billions from the state. The “Handelsblatt” reports it, citing corporate circles. At a meeting in early December, the supervisory board approved the corresponding bonus payments in the millions for the years 2021 and 2022.

Allegation of Improper Bonus Payments

According to information from the supervisory board, payments for 2021 are controversial because Lufthansa had received billions in aid from the federal government to avoid insolvency following the corona crisis. According to the report, some employee board members voted against the bonuses, believing paying them would breach the terms of the government’s bailout package.

A Lufthansa spokesman told the “Handelsblatt” that the bonuses now decided will only be paid from 2025. Therefore, there is no violation of state requirements. This also emerges from an expert report commissioned by the Supervisory Board.

Billions lost in the pandemic

The airline had lost billions during the pandemic. In 2020 and 2021, there was an operating loss of €7.8 billion. The federal government temporarily stepped in as a shareholder with a bailout package.

Meanwhile Lufthansa has repaid the aid in full and the federal government has sold its stake with a profit of over 700 million euros. Just a few days ago, Lufthansa raised its earnings forecast again for this year.