Air France Plans to Cut 2,900 Jobs
October 05 2015 - 6:50AM
Dow Jones News
PARIS—The management of Air France, the French arm of Air
France-KLM, has outlined a plan to cut 2,900 jobs in a meeting with
union representatives.
The company will encourage voluntary departures, but would fire
workers if its enticement plan doesn't convince enough to leave,
union representatives who attended the meeting on Monday said. The
firings would be the first at Air France since the mid-1990s. The
company also plans to reduce the number of long-haul flights it
operates.
"The management wasn't able to explain all the plan's points as
workers interrupted and the meeting was suspended until at least
this afternoon," Marc Saladin, a representative of ground workers
said.
Monday's meeting was set up last week after talks over a
previous cost-cutting round broke down.
The conflict between Air France and its workers shows the
difficulties Europe's legacy airlines face in making their
operations lean and flexible enough to compete with budget airlines
on short-haul flights, while maintaining market share against Gulf
carriers on more expensive long-haul flights to Asia.
A spokesman for Air France declined to comment.
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(END) Dow Jones Newswires
October 05, 2015 06:35 ET (10:35 GMT)
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