Airbus to reduce workforce including 1,700 UK jobs
Airbus has announced plans to adapt its global workforce and resize its commercial aircraft activity in response to the COVID-19 crisis, resulting in an expected reduction of around 15,000 positions no later than summer 2021, including 1,700 in the UK. The information and consultation process with social partners has begun with a view to reaching agreements for implementation starting in autumn 2020.
Copyright Airbus
The commercial aircraft business activity has dropped by close to 40% in recent months as the industry faces an unprecedented crisis. Commercial aircraft production rates have been adapted accordingly. Airbus is grateful for the government support that has enabled the Company to limit these necessary adaptation measures. However with air traffic not expected to recover to pre-COVID levels before 2023 and potentially as late as 2025, Airbus now needs to take additional measures to reflect the post COVID-19 industry outlook.
Following the in-depth analysis of customer demand that has taken place over recent months, Airbus anticipates the need to adapt its global workforce due to COVID-19 by approximately:
5,000 positions in France
5,100 positions in Germany
900 positions in Spain
1,700 positions in the UK
1,300 positions at Airbus’ other worldwide sites
These figures include the Airbus subsidiaries Stelia in France and Premium AEROTEC in Germany. However, they do not include approximately 900 positions stemming from a pre-COVID-19 identified need to restructure Premium AEROTEC in Germany, which will now be implemented within the frame of this global adaptation plan.
The details of this COVID-19 adaptation plan need to be finalised with social partners.
While compulsory actions cannot be ruled out at this stage, Airbus will work with its social partners to limit the impact of this plan by relying on all available social measures, including voluntary departures, early retirement, and long term partial unemployment schemes where appropriate.
“Airbus is facing the gravest crisis this industry has ever experienced,” said Airbus CEO 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. Our management team and our Board of Directors are fully committed to limiting the social impact of this adaptation. We thank our governmental partners as they help us preserve our expertise and know-how as much as possible and have played an important role in limiting the social impact of this crisis in our industry. The Airbus teams and their skills and competences will enable us to pursue our ambition to pioneer a sustainable future for aerospace.”
Responding to Airbus' plans to adapt its global workforce, ADS Chief Executive Paul Everitt said: “This is undoubtedly the toughest period the global aerospace industry has ever faced. Being the largest commercial aircraft company in the UK, Airbus is central to our aerospace industry and has a close relationship with its highly integrated UK supply chain. This difficult news will be unsettling for their employees and those working as part of the supply chain.
“The aerospace industry contributes to the UK’s prosperity and international competitiveness and our highly-skilled workforce is primed to play a huge role in creating the sustainable aircraft of the future. We have already seen tens of thousands of jobs across the aviation and aerospace sectors put at risk as a result of this crisis.
“Government action to support the wider economy has been greatly appreciated across the aerospace industry, but further measures are urgently required to support a strong recovery in our sector. This should include increased investment in UK innovation, help to recapitalise the supply chain and using public procurement to support high value UK manufacturing.”