KLM’s works council said plans revealed last week by Air France about its new budget subsidiary Joon are not in the interest of the Dutch unit of Air France-KLM, Dutch broadcaster NOS said on Monday.

‘We are watching developments very carefully,’ said Jan-Willem van Dijk, chairman of KLM’s works council. Air France hopes to redress the balance between the two partners in the merged airline through the new budget carrier, somewhat oddly called Joon.

As is widely known, NOS said, KLM has been outperforming Air France for years, which Air France terms an ‘unhealthy situation’.

Joon will operate short-haul European flights initially to meet competition with carriers from the Middle East, NOS said. Air France said Joon will pose no hindrance to the growth of KLM.

KLM’s works council has long had doubts about the marriage of the two carriers. Last week a leaked internal memorandum spelled out the concern of senior managers in the combine.

In the leaked document KLM employees complained that even though English was the agreed common language at Air France KLM, French staffers refused to speak it with their Dutch colleagues.