Airbus Commences Defence & Space Division Overhaul, Targets 750 Job Cuts: Report

Airbus SE EADSY reportedly plans to reduce approximately 750 posts as part of reorganizing its Defence & Space activities. 

The reshuffling is not anticipated to lead to mandatory layoffs, according to a report from Reuters, which cited union sources.

The company plans to accomplish this reduction primarily through natural attrition and a slowdown in recruitment over the next two years, as per the report.

Also Read: Japan's All Nippon Airways To Cut 30 Flights Per Day During January-March 2024: Here's Why

As of the end of 2022, Airbus Defence & Space had a staff strength of 34,330. The restructuring announcement came in after the division posted a loss, which included a 300-million-euro quarterly charge related to satellite developments.

The report added that this loss is partly attributed to issues with the OneSat family of reprogrammable satellites.

This overhaul also includes merging two fighter jet businesses into one unit to bring together Airbus' share of the future Franco-German-Spanish FCAS/SCAF project with its existing Eurofighter and other military aircraft and drone operations.

Code-named ATOM, the revamp is intended to streamline a complex array of separate programs and reduce organizational layers, according to the report.

Price Action: EADSY shares are trading higher by 1.61% at $34.38 on the last check Friday.

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