Lufthansa Announces 4,000 Administrative Job Cuts by 2030 Amid German Economic Downturn

German airline giant Lufthansa plans to eliminate 4,000 administrative positions by 2030, representing nearly 4% of its workforce, as the company embraces digital transformation and artificial intelligence while navigating Germany's ongoing economic recession. The cuts will primarily affect administrative roles rather than operational positions across the group's airlines including Eurowings, Austrian, Swiss, Brussels Airlines, and newly acquired ITA Airways.

Germany's Lufthansa To Cut 4,000 Jobs By 2030, Targetting Admin

Lufthansa's job reduction initiative will focus primarily on administrative positions rather than operational roles.

The German airline group Lufthansa announced on Monday a plan to eliminate 4,000 positions by 2030, representing nearly four percent of its total workforce, highlighting the economic challenges facing Europe's largest economy.

According to the company, the majority of these job reductions will occur in Germany, specifically targeting administrative functions while preserving operational positions.

Lufthansa Group, which currently employs approximately 103,000 people, encompasses several airlines including Eurowings, Austrian Airlines, Swiss International Air Lines, Brussels Airlines, and the recently acquired Italian carrier ITA Airways.

Germany is currently experiencing its second consecutive year of economic recession, with unemployment rates reaching a ten-year high.

The economic downturn has severely impacted numerous German corporate giants, who face mounting pressure from Chinese competition, elevated energy costs, and sluggish implementation of new technological innovations.

Lufthansa's workforce reduction announcement follows closely behind industrial conglomerate Bosch's recent declaration of 13,000 job cuts, equivalent to three percent of its global workforce.

"The Lufthansa Group is evaluating which activities will become redundant in the future, particularly where work duplication exists," the company stated in its official announcement.

"Specifically, the significant transformations driven by digitalization and increased artificial intelligence implementation will generate greater efficiencies across numerous areas and processes," the statement continued.

The airline group has established new financial objectives for the 2028-2030 period, including an adjusted operating margin target between eight and ten percent.

Source: https://www.ndtv.com/world-news/germanys-lufthansa-to-cut-4-000-jobs-by-2030-targetting-admin-9363408