Air Malta and the Association of Airline Engineers (Malta) (AAE), the union representing engineers at Air Malta, have successfully negotiated a new collective agreement, which they signed yesterday, covering a four-year period from 1 August, 2007 to 31 July, 2011.

A spokesperson for the AAE said the agreement included a comprehensive review of working methods as well as increases in salary and allowances. Increases in payments are weighted towards the end of the four year period to allow sufficient time for the airline to continue its financial recovery.

The changes in working methods include the possibility of introducing flexible weekly hours depending on seasonality, flexible hours in the case of urgent technical problems and changes in the system of annual leave. It also includes a change in the way sick leave is calculated.

This is the first post rescue pact agreement reached by Air Malta with one of the four unions representing its employees. Earlier this year the four unions had expressed a preference to negotiate separate collective agreements instead of extending the three-year rescue pact.