Airbus unveils restructuring plan, cutting 10,000 jobs

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Source: CCTV.com | 03-01-2007 10:08

Airbus will cut 10,000 jobs over the next four years. The company's President unveiled a major restructuring plan on Wednesday that aims to help Airbus recover from several setbacks, including costly delays in the delivery of its A380 superjumbo.

The President of Airbus has announced a cut of 10,000 jobs in countries across Europe.

Louis Gallois, Airbus President, said, "We will do that in four years. Half will be permanent employees of Airbus, half will be temporary or in situ partners. We will do that with voluntary measures and early retirement. We will assess the situation in 12-18 months to see if we are on track. If we are not on track we will have to take perhaps more compulsory measures."

The Power8 restructuring program was first announced last year after a two-year production delay to the double-decker A380, wiped more than 6-and-a-half billion US dollars off profit forecasts for the period 2006 to 2010. The plan aims to claw back the same figure in cost-reductions, and generate almost three billion US dollars in annual savings in later years.