Airbus Restructures: Significant Job Cuts in Defence and Space Division

Airbus plans to cut over 2,000 jobs in its Defence and Space division, mainly affecting management roles within the struggling Space Systems business. The job reductions are part of a reorganization strategy due to significant losses. The cuts will impact operations across several European countries, with the majority in Germany, France, and Britain.

Airbus has announced plans to cut just over 2,000 jobs in its Defence and Space division, equivalent to 6% of this sector, sources revealed on Wednesday. The move, originally aiming at up to 2,500 cuts, includes shedding management positions with the majority from the underperforming Space Systems business.

Unnamed sources informed Reuters that over half of the proposed 2,043 job reductions will affect Space Systems following heavy losses. An Airbus spokesperson remained silent on these figures, disclosed during union briefings. The decision follows October's announcement, stemming from 1.5 billion euros in satellite business writedowns partly due to the OneSat program.

The reorganization plan named Proton, will unfold by mid-2026 following union negotiations. About 250 cuts will affect Air Power, and 47 will decrease Connected Intelligence numbers, with the divisional HQ losing 618 posts. The largest impact will hit Germany, followed by France, Britain, and Spain, with political sensitivities due to the nations' historical ties to Airbus.

(With inputs from agencies.)