U.S. Markets closed

Alitalia reaches deal to avoid lay off for 1,900 workers: union

Alitalia planes are pictured before takeoff at the Fiumicino airport in Rome December 10, 2013. REUTERS/Max Rossi

MILAN (Reuters) - Alitalia's (CAITLA.UL) trade unions said on Friday they have reached a deal with the management to avoid lay off for 1,900 workers.

The agreement, announced in a statement by the FIT-CISL union, is part of the restructuring plan for the troubled carrier and a prerequisite for a tie-up with Etihad Airways.

The Abu Dhabi carrier entered in the final phase of due diligence for a possible investment by in the Italian airline at the beginning of February.

(Reporting by Stefano Bernabei; writing by Francesca Landini)