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Air France Plans Deeper Job Cuts
Filed under: Wings
Air-France is planning its first cross-Atlantic flight with its shiny new Airbus A380 jumbo jet but not all is rosy for Europe's largest airline. Air France-KLM has announced plans to trim 1,700 jobs next year following a worse-than-expected quarterly loss. The company is blaming the numbers on fuel hedging losses and poor cargo traffic. Passenger revenues were also down 17.2 percent but the effects of that would have been offset partly by a reduction in capacity. Air France-KLM had previously announced earlier cuts so this new staff reduction means that the airline carrier will enact 4,500 job cuts in the year to March 2010, reducing its global workforce to 105,000. Another reduction by March 2011 will trim the workforce by a further three to five percent by March 2011 in an effort to lift profits by 500 million euros for March 2012.
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