27 Juni 2012

[270612.EN.AIR] Air France-KLM to Shed 5,000 Jobs To Save US$2.5 Billion a Year


MORE than 5,000 French Air France-KLM employees will be laid off by the end of 2013 to save US$2.5 billion a year and restore profitability, Europe's largest airline has revealed.

No word on how many jobs would be lost in the cargo segment, but the company said freighter capacity will be cut 20 per cent.

Air France Cargo has stopped freighter service to Shanghai - and is refocusing on West Africa, the Indian Ocean, North America, Mexico and Japan. Operating as a single unit since June 1, Air France Cargo is joined with KLM Cargo and Martinair with its six 747-400s and seven MD-11Fs. Air France Cargo will dispose of one 747-400, reducing its fleet to two 747-400s and two Boeing 777 freighters.

Early retirement will be encouraged and other full-time jobs will disappear through attrition and work sharing, though direct involuntary outplacement will be "unavoidable" if unions reject the company's business plan, the company said.

Said Air France CEO Alexandre de Juniac: "If we make all the necessary equitably distributed efforts, there will be no forced departures."

Source : HKSG, 26.06.12.

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