PARIS • France is warning flag carrier Air France-KLM against making forced job cuts, with Finance Minister Bruno Le Maire saying such a move would constitute a “red line” the carrier should not cross after receiving a state bailout.
“We spent money to save Air France,” he said in a radio interview yesterday. “I am asking that there not be any forced departures — that’s the red line.”
Le Maire declined to confirm a Bloomberg News report on Wednesday that the airline is seeking about 8,300 voluntary staff departures at its French arm, including pilots, cabin crew and ground staff.
“I hope it is less than 8,000 jobs,” he said on France Inter radio. “The state will back a company that becomes profitable and is solid.”
The Europe’s second-biggest airline is preparing to unveil a workforce plan in coming weeks as part of a strategic review ordered by CEO Ben Smith. Any cuts will add to thousands of jobs on the line in the sector in Europe. British Airways created a political firestorm with moves to scrap 12,000 posts, while Deutsche Lufthansa AG may have 22,000 surplus staff as it shrinks operations.
Air France-KLM received €7 billion (RM33.6 billion) from France and its Dutch arm is poised to get up to €4 billion more from the Netherlands. The French unit, which employs 46,000 people, agreed to a 40% cut in domestic capacity by the end of next year and a lowering of carbon emissions.
The cuts could include around 300 pilots, 2,000 cabin crew and 6,000 ground staff, or roughly 17% of employees, according to people familiar with the matter.
The company has declined to comment.
Le Maire’s comments show that Smith is under pressure to avoid enforced dismissals, a move the CEO has already said he doesn’t want to make. Yet, the government appears to be giving the company some wiggle room to make voluntary cuts in a bid to make the carrier competitive. — Bloomberg
RELATED ARTICLES





