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Lufthansa Group. [Photo courtesy of Lufthansa Group] |
[Alpha Biz= Kim Jisun] German airline Lufthansa Group plans to cut 4,000 jobs, according to local media reports on the 29th (local time).
The company stated that by 2030, it will streamline operations through digitalization and automation, while raising its operating margin target from the current 8% to a range of 8–10%.
German business daily Handelsblatt, citing company sources, reported that most of the job cuts will come from administrative positions, with approximately 2,000 jobs expected to be eliminated in the IT division alone. As of the first half of this year, Lufthansa Group employed around 103,000 people worldwide.
Chief Executive Officer Carsten Spohr recently expressed the need to reduce administrative costs by 20%, reaffirming the company’s restructuring drive.
Together with Air France–KLM, Lufthansa Group is one of Europe’s two largest airline groups. Its portfolio includes Lufthansa, Eurowings, Swiss International Air Lines, Austrian Airlines, and Brussels Airlines.
In January of this year, Lufthansa acquired a 41% stake in Italy’s state-owned ITA Airways, incorporating it as a subsidiary. Under an agreement with the Italian government, Lufthansa plans to increase its stake to 90% by next year.
알파경제 Kim Jisun Reporter(stockmk2020@alphabiz.co.kr)
