Helsinki - Finnish flag carrier Finnair is to slash 400 jobs after failing to agree on wage cuts with unions, the company said Wednesday.

Finnair said "statutory employer-employee negotiations" concerning other cost-cutting measures were due to continue in other areas.

The carrier has said it aimed to save 25 million euros (35 million dollars).

Finnair, in common with other airlines, has suffered from the impact of higher fuel costs and increased competition.

The group had some 9,500 employees on its books at the end of the second quarter. (dpa)