Lufthansa Group expects to cut 4,000 jobs by the end of the decade, as part of a strategic plan to consolidate operations and increase efficiency.

The group intends to integrate its five network airlines – Lufthansa, Swiss, Austrian Brussels Airlines and ITA – more closely, adjusting their organisational structure.

“This will clarify responsibilities, promote collaboration and speed up decision-making processes,” it states.

Group-wide control of its overall network, including short- and medium-haul services, will increase productivity and efficiency, it adds.

The company aims to introduce more than 230 new aircraft, including 100 long-haul airframes, by 2030 but points out that the current delays in aircraft supply is having a “positive impact” on average yields and capacity utilisation.

Lufthansa Group, which outlined the plans ahead of a 29 September capital markets event, says the company is continuing to implement existing transformation programmes, and is also rapidly integrating ITA following its investment in the Italian carrier.

Lufthansa-c-Lufthansa

But it acknowledges that the tightening of co-operation between group companies will lead to “significant changes” in processes, particularly as a result of digitisation and the increasing use of artificial intelligence.

“Lufthansa Group is reviewing which activities will no longer be necessary in the future – owing to, for example, duplication of work,” it states.

It expects to eliminate 4,000 jobs worldwide by 2030, most of which will be in Germany, with the losses focused on administrative rather than operational roles.

Lufthansa Group has set new medium-term financial targets, intended to “exceed” prior performance and generate “sustainably attractive returns” for its shareholders.

Over the course of 2028-30 it is looking to achieve an adjusted EBIT margin of 8-10%, an adjusted return on capital of 15-20% before tax, and an adjusted free cash flow of more than €2.5 billion ($2.9 billion) per year.

“Financial strength will continue to be the basis for achieving the financial targets,” says the group, adding that it will maintain a “conservative” minimum liquidity of €8-10 billion.

Along with its network airlines, the group plans to concentrate on point-to-point services through its Eurowings leisure division – which is undergoing a fleet renewal with Boeing 737 Max jets – as well as maintenance and freight operations with Lufthansa Technik and Lufthansa Cargo.





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