Brussels Airlines to reduce fleet size, slash workforce

Belgium’s biggest carrier Brussels Airlines, hammered by the collapse in travel due to the coronavirus, plans to slash 1,000 jobs – a quarter of its workforce.

The Lufthansa Group carrier said it would downsize the company and as a consequence its workforce by 25 per cent.

As part of this restructuring Brussels Airlines will cut its fleet by 16 aircraft (from 54 to 38 planes), a reduction of 30 per cent.

“The company is confident that with its turnaround plan it will be able to safeguard 75 per cent of its employment and grow again in a profitable way as soon as the demand for air travel has recovered to a new normal, which is expected as of 2023,” the carrier said in a press release.

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Since March 21 and the temporary suspension of all its flights, the company “is losing one million euros a day due to loss of revenue and costs that cannot be avoided, such as the leasing and maintenance costs of its aircraft.”

Air travel has virtually disappeared amid restrictions to combat the coronavirus pandemic and Brussels is only the latest major carrier to announce major cuts.

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British Airways is to shed 12,000 jobs, Scandinavian airline SAS 5,000, budget carrier Ryanair 3,000 and Virgin Atlantic just over 3,000.

Despite the layoffs, Brussels Airlines said it still hopes to receive financial support from Lufthansa and the Belgian government, with bailout talks ongoing.

Germany’s national carrier, which also owns former flag-bearer fliers Austrian and Swissair, is currently in talks to give the German government a stake of up to 25 percent plus one share as part of a massive bailout.

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This partial state ownership would give German officials veto power over decisions such as job cuts and the carrier’s post-crisis strategy.

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