Airbus to cut 1,700 UK jobs

Airbus

Airbus has announced plans to cut 1,700 UK jobs amid a major restructuring of the company.

The aerospace giant said on Tuesday that it will cut a total of 15,000 jobs across the whole company in response to what the group has called an “unprecedented crisis”.

Following a slump in production and 40% plunge in commercial aircraft business activity, the group has said it will cut 1,700 jobs in the UK, 5,000 jobs in France, 6,000 jobs in Germany and 900 in Spain.

“Airbus is facing the gravest crisis this industry has ever experienced,” said chief executive, Guillaume Faury.

“The measures we have taken so far have enabled us to absorb the initial shock of this global pandemic.”

“Now, we must ensure that we can sustain our enterprise and emerge from the crisis as a healthy, global aerospace leader, adjusting to the overwhelming challenges of our customers.”

“To confront that reality, we must now adopt more far-reaching measures,” he added.

More details of the roles and from which factories they are based will come at the end of the week.

The news comes amid many job losses announced, particularly across the travel sector. This week EasyJet said it plans to cut 727 pilot jobs and 1,200 cabin crew jobs. Wednesday saw SSP Group announce plans to cut half of its UK workforce.

In response to the job cuts across the travel sector, Labour’s shadow transport secretary, Jim McMahon, has called on the UK government for more support to those affected.

“Labour has consistently called for an extension to the furlough in the most impacted industries, and a sectoral deal that supports the whole aviation industry including securing jobs and protecting the supply chain, while continuing to press for higher environmental standards,” he said.

Many of the jobs cut will be from Broughton, in Wales.

First Minister Mark Drakeford tweeted: “Devastating news for all of the staff at Airbus, their families and the local community. The Welsh Government will use all of the levers at our disposal to support the workers through this difficult time.”

 

 

Previous articleUK Investor Magazine Virtual Investor Presentation 30th June
Next articleSainsbury’s sales surge but higher costs subdues profit outlook
Safiya focuses on business and political stories for UK Investor Magazine. Her interests include international development, travel and politics.