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Lufthansa Staff Cuts

Lufthansa to cut 15% of its administrative staff

Sep 22, 2009

FRANKFURT - German airline Deutsche Lufthansa AG plans to cut around 15% of its administrative staff by the year 2012, a spokesman confirmed Monday.

The spokesman declined to specify the number of jobs to be cut, but said personnel costs will be reduced by around 5% annually to 2012.

He was confirming a report in Monday's edition of the daily Handelsblatt newspaper. The newspaper added that the reductions are expected to be carried out through attrition, rather than forced layoffs.

The plan comes in addition to a program aimed at cutting €1 billion ($1.47 billion) in costs from the carrier's passenger segment, and savings programs in other divisions.

The airline's spokesman also said administrative management salaries will be frozen in 2009 and 2010, and that costs for materials are set to fall 7% per year.

Lufthansa to cut 15% of its administrative staff
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