Lufthansa has confirmed it is set to cut 4,000 administrative positions by 2030 as it moves to digitize, automate and consolidate processes, the airline group said on Monday at its Capital Markets Day in Munich, reported dpa.
The announcement confirmed unverified reports from last week.
The company also raised its medium-term financial targets.
The Lufthansa Group most recently had around 103,000 employees. The company now aims for an operating profit, an adjusted earnings before interest and taxes (EBIT), of 8–10% of revenue, up from a previous target of 8%.
For this year, management said it expects the adjusted EBIT to significantly exceed last year's €1.6 billion.
To boost profitability, Lufthansa also plans to consolidate its various airlines under tighter central control.
In addition to the crisis-ridden core brand Lufthansa, the group operates SWISS, Austrian and Brussels Airlines and holds a minority stake in Italy's ITA.
The low-cost carrier Eurowings will also be strengthened, the company said, as will the logistics and maintenance units, with the latter expected to expand into the defence sector.
The company said the measures aim to position the group for the future while generating sustainable returns for shareholders. Lufthansa said investors can continue to expect a dividend of 20–40% of group profits.
- Lufthansa
- Cuts
- Jobs
Source: www.dailyfinland.fi
