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Although many are focusing on what is happening with British Airways and its unions, Scandinavian Airlines is having its own problems as well, as it looks for ways to make some cost cuts. Talks between Scandinavian Airlines and trade unions over more cuts for the carrier’s operations just recently broke down.

Scandinavian Airlines said, despite the certain progress that was being made, no agreement has been reached with the airline’s 39 unions. The airline will now be looking at some other ways that it can reduce its costs. Scandinavian Airlines is equally owned by the governments of Denmark, Norway, and Sweden.

These cuts were in the works because of the economic crisis that the airline industry is in as a whole. The Scandinavian Airlines President and CEO, Mats Jansson, said that they have made certain progress in the last two weeks. However, they have not been able to reach any kind of agreement that would provide long term or substantial cost reductions without being linked back to some impossible demands that the airline just cannot give.

He went on to say that, unfortunately, this means that the airline has not been able to reach its necessary cost savings that it was hoping to reach. The group management will now try to come up with other ways to be able to lower costs for Scandinavian Airlines.

Scandinavian Airlines had already posted first quarter pretax losses of around €95 million in April. This was blamed on the weak loads brought on by the global recession. However, this is the same thing that has been killing many airlines all over the world.

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