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Lufthansa Seeks Agreements With Trade Unions To Cut 22,000 Jobs

Deutsche Lufthansa AG (DLAKF,DLAKY) said it is seeking to reach agreements with the representatives of the trade unions by June 22 to cut 22,000 full-time jobs, as Covid-19 pandemic caused drastic decline in air travel. Half of the job cut will be in Germany.

".... We want to secure over 100,000 jobs in the Lufthansa Group in the long term, despite all the challenges. To achieve this, painful restructuring measures are unavoidable," said Michael Niggemann, Executive Board Member Human Resources and Legal Affairs of Deutsche Lufthansa.

The Lufthansa airline's flight operations will be affected with 5,000 jobs, 600 of which will be pilots, 2,600 flight attendants and 1,500 ground staff. In addition, 1,400 jobs at headquarters and in administration at other Group companies will also be affected, Lufthansa said in a statement.

Lufthansa, which recently accepted the German Government's 9 billion euros rescue package, added that Lufthansa Technik has a worldwide surplus of about 4,500 jobs, 2,500 of them in Germany.

In the LSG Group's catering business 8,300 jobs are affected worldwide, 1,500 of them in Germany.

Lufthansa, which also owns Swiss, Austrian Airlines and Brussels Airlines, said that Germanwings will not resume flight operations, while Eurowings will trim its administrative staff capacity by 30 percent and cut 300 jobs in return.

Austrian Airlines has a personnel surplus of 1,100 jobs due to fleet downsizing. Brussels Airlines will reduce its capacity by 1,000 jobs; Lufthansa Cargo by 500.

According to the company, staff overcapacity can be partially compensated for by short-time working, collective agreements to reduce weekly working hours or other cost-cutting measures.

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