Airbus to cut up to 2,500 jobs in space, defence unit
A large part of the cuts would fall to the space section of the division, which also includes fighter aircraft and cybersecurity operations
AIRBUS plans to eliminate as many as 2,500 positions at its defence and space division as the European aircraft manufacturer seeks to streamline a business that’s consistently racked up charges and suffered from competition.
The company is evaluating options on how to downsize the business and is in discussions with unions about job reductions, according to people familiar with the talks. An Airbus spokesman declined to comment.
A large part of the cuts would fall to the space section of the division, which also includes fighter aircraft and cybersecurity operations, said the people, asking not to be identified discussing private deliberations.
The division under review employs about 35,000 people, AFP reported earlier when it first disclosed the plans for the cuts, citing people familiar with the proposal.
Airbus has struggled to turn around the business, which is suffering from high costs and some programmes that are delayed. The company said in June that it would have charges of about US$980 million related to some space programmes, citing “complex and sophisticated products” that created development risks.
As a result, Airbus said it will “evaluate all strategic options such as potential restructuring, cooperation models, portfolio review and M&A options.” That review of the troubled space programmes is about 70 per cent complete, Airbus said at the time. BLOOMBERG
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