German court rules against Lufthansa pilot strike

Legal Events

A German court issued an injunction Wednesday ordering a halt to a strike by pilots at Lufthansa, Germany’s biggest airline, that caused the cancelation of 1,000 flights.

Lufthansa welcomed the ruling by the state labor court in Frankfurt but said that a special, reduced timetable it had drawn up for the day would remain in place. It said that largely normal services would be resumed on Thursday.

The pilots’ union, Vereinigung Cockpit, has been calling regular short-term strikes in the long-running labor dispute, which comes as Lufthansa restructures to meet increasing competition from Gulf airlines. The pilots want the airline to keep making transition payments for those seeking early retirement.

The court found that the union’s aims went beyond that demand, to exerting more influence on Lufthansa’s new low-cost operation, making the strike illegal, news agency dpa reported.

Vereinigung Cockpit began its strike on long-haul flights Tuesday, forcing the cancellation of 90 flights, and extended the walk-out to medium-and short-haul flights Wednesday.

Union spokesman Markus Wahl told n-tv television after the ruling that it had told pilots to be available for work immediately. Wednesday’s ruling overturned one by a lower court on Tuesday that went in the union’s favor.



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Workers’ Compensation Subrogation of Administrative Fees and Costs

When a worker covered by workers’ compensation makes a claim against a third party, the workers’ compensation insurance retains the right to subrogate against any recovery from that third party for all benefits paid to or on behalf of a claimant injured at work. When subrogating for more than basic medical and indemnity benefits, the Texas workers’ compensation subrogation statute provides that “the net amount recovered by a claimant in a third‑party action shall be used to reimburse the carrier for benefits, including medical benefits that have been paid for the compensable injury.” TX Labor Code § 417.002.

In fact, all 50 states provide for similar subrogation. However, none of them precisely outlines which payments or costs paid by a compensation carrier constitute “compensation” and can be recovered. The result is industry-wide confusion and an ongoing debate and argument with claimants’ attorneys over what can and can’t be included in a carrier’s lien for recovery purposes.

In addition to medical expenses, death benefits, funeral costs and/or indemnity benefits for lost wages and loss of earning capacity resulting from a compensable injury, workers’ compensation insurance carriers also expend considerable dollars for case management costs, medical bill audit fees, rehabilitation benefits, nurse case worker fees, and other similar fees. They also incur other expenses in conjunction with the handling and adjusting of workers’ compensation claims. Workers’ compensation carriers typically assert, of course, that, they are entitled to reimbursement for such expenditures when it recovers its workers’ compensation lien. Injured workers and their attorneys disagree.

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