Lufthansa announced on Monday that it plans to cut 4,000 jobs by 2030 in its non-operational division, with the aim of improving its financial results. Its services should be digitized, automated and better integrated. Essentially, the company confirmed leaks from previous days. The goal is for the net profit margin to reach 10%, up from the 8% that was the target until now.
The company’s management forecasts for this year are already extremely optimistic, since net profits are estimated to exceed the target of 1.6 billion euros. The company aspires to give dividends of between 20 and 40% of net profits to its shareholders.
Central management
Lufthansa remains Europe’s largest airline with 103,000 employees. The reduction in staff is considered necessary to better prepare it for the future and strengthen its competitiveness, as stated in the relevant justification.
The aim is, among other things, to merge the services of subsidiary companies. At the moment, the group also owns, after acquisitions, the Swiss, Austrian, Brussels Airlines, while a share of the Italian Ita has also been purchased. There is also a plan to further strengthen the subsidiary Eurowings.
Towards a strike by the pilots?
As for the immediate problems, however, the management is called upon to face the threat of a strike by the pilots. The vote of their Cockpit (VC) union ends on Tuesday. Its leadership has called on the members of the main company of Lufthansa and the subsidiary of Lufthansa Cargo, which deals with the transport of goods, to decide on a strike mobilization. The point of disagreement with the management concerns pensions. Lufthansa had rejected the pilots’ demands as excessive.
Source: DW | ARD
