Lufthansa Group will cut 4,000 administrative jobs by 2030 as it seeks to boost efficiency through digitisation and automation.
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At its Capital Markets Day in Munich this week, Lufthansa said it plans to make ¡°profound changes¡± to its processes and governing structures over the next five years, largely driven by increased digitisation and the use of artificial intelligence.
As a result, the group expects to cut some 4,000 jobs, mostly in Germany and with a focus on administrative rather than operational roles.
The workforce cull comes after the group announced plans to further integrate its airlines ¨C which include Lufthansa,?Swiss, Austrian Airlines, Brussels Airlines and ITA Airways ¨C to ¡°maximise synergies¡±. In a statement, the European aviation giant said it is ¡°reviewing which activities will no longer be necessary in the future, for example due to duplication of work¡±.
Lufthansa has faced difficulties returning its core airline to profitability this year following a series of disruptive strikes and operational issues. In its latest earnings report, Lufthansa Group CEO Carsten Spohr said the company had ¡°regained operational stability of our airlines¡± after implementing a?¡®turnaround¡¯ strategy?for its flagship airline, but cited supply chain delays and EU red tape as ongoing challenges. ?
The ¡®turnaround¡¯ strategy includes a significant investment to modernise the Lufthansa fleet. At a group level, Lufthansa expects to add more than 230 new aircraft by 2030, including 100 long-haul aircraft.
The group cited fleet modernisation and its recently expanded loyalty programme as growth drivers, raising its mid-term profit targets. Lufthansa?now expects its adjusted operating margin to reach?8-10 per cent from 2028, up from a previous?goal?of?8 per cent.