Lufthansa airline group is cutting around 4000 jobs by 2030, mostly in Germany as it seeks to reduce costs and use different technologies, according to AFP. These cuts will mostly affect administrative staff. Lufthansa currently employs around 103,000 people worldwide and operates airlines including Eurowings, Austrian Airlines, Swiss, Brussels Airlines and ITA Airways, which it recently acquired as Italy’s new flagship carrier.
“Integrated cooperation within the Lufthansa Group will lead to significant changes in the processes and structures governing cooperation between Group companies in the future. On this basis, the Lufthansa Group is reviewing which activities will no longer be necessary in the future, for example due to duplication of work,” the airlines group said, adding that digitization and artificial intelligence will lead to “greater efficiency in many areas and processes.”
READ: Spirit airlines to lay off 1,800 flight attendants during bankruptcy (
According to One Mile at a Time, this announcement is intended to assure investors about the company’s commitment to efficiency. The company had received criticism for its inability to cut costs and also inability to grow its core business as its flagship airline has been struggling.
This decision comes as Germany goes through its second consecutive year of recession, with unemployment being at its highest level in a decade. Companies are dealing with rising energy costs, competition from China, and slow progress in digital transformation. A few days earlier, Bosch said it would slash 13,000 jobs worldwide, which comes to around 3 per cent of its workforce. The company has also set new financial goals for 2028 to 2030, aiming for an adjusted operating margin of 8 per cent to 10 per cent.
READ: Spirit Airlines to cut jobs, scale back flights following bankruptcy (
Another airline that recently announced cuts is the U.S.-based Spirit Airlines. Spirit is planning to furlough 1,800 flight attendants, which is around a third of the cabin crew as a cost-cutting measure as the airline deals with its second bankruptcy in a year. Earlier, the carrier announced furloughs and demotions of hundreds of pilots. Executives told the airline’s pilots’ union that it is seeking $100 million in cost cuts from them.
Spirit Airlines, known for its low costs and bare-bones service, plans to start with voluntary furloughs with flight attendants being able to apply for voluntary furlough leaves of six or 12 months while retaining medical benefits. The Association of Flight Attendants said it is working with union chapters at other airlines to help affected flight attendants get “preferential interviews” with other carriers. AFA also said the furloughs will begin on Dec. 1.