European Aircraft Maker Airbus Cuts 500 U.K. Jobs

Gordon Werner · 12-17-2001, 07:05 PM

Monday December 17, 2:02 pm Eastern Time

Airbus Cuts 500 U.K. Jobs
European Aircraft Maker Airbus Cuts 500 U.K. Jobs, Trims Total Hours to Cope With Demand Slump

TOULOUSE, France (AP) -- European aircraft maker Airbus SAS plans to cut 500 jobs in Britain and will reduce the total number of employee work hours by 20 percent to cope with declining demand, the company's top executive said Monday.

Chairman Noel Foregard said Airbus will cut 500 jobs in Britain following a decision by British aerospace company BAE Systems to shut down production of regional jets. BAE Systems holds a one-fifth stake in Airbus, a European consortium.

Forgeard told reporters the reduction in work hours will be structured to avoid a need for additional outright job cuts. Instead, Airbus will rely on attrition and temporary layoffs, he said.

Forgeard spoke on the sidelines of a gathering to mark the first delivery of its A330-200 airliner to Air France, which has ordered eight of the planes.

A spokesman for British subsidiary Airbus UK in London said separately that up to 2,000 jobs could potentially be eliminated -- 18 percent of its work force -- unless employees agree to stop working overtime and accept other cost-cutting measures.

"On the manufacturing front, we have to get our costs down ... About 2,000 jobs would be at risk if we just carried on the way we are today," spokesman Howard Berry said. The British unit produces the wings and undercarriage for Airbus airliners.

Airbus, based in Toulouse, has some 47,000 employees, mostly in its four founding countries: Britain, France, Germany and Spain.

Like Chicago-based Boeing Co., its leading competitor, Airbus has been hit by fallout from the Sept. 11 attacks in the United States. Boeing has said it plans to cut as many as 30,000 jobs by the middle of next year.

Airbus recently lowered the number of commercial aircraft it expects to deliver in 2002 to 300 from 375 before the attacks. Forgeard said it is too early to provide a forecast for 2003.

In a separate matter, Forgeard said leaders from several European countries are expected to sign an international protocol on Airbus' eight-nation A400M military transport plane program Tuesday in Brussels.

The German Parliament has approved funds to purchase 40 to 50 A400Ms, although the government has said it wants to buy 73. Forgeard said he hopes German lawmakers will allocate extra funding in January to allow Germany to fulfill its pledge to acquire all 73 planes.

Sentinel Chicken · 12-17-2001, 07:21 PM

Airbus has been remarkably quiet about Italy's decision to withdraw from the A400M programme- apparently the Italian Air Force feels that the C-130Js and C-27Js it's ordered will fulfill its airlift needs. It sounds to me that the A380 has a better chance of seeing the light of day than the A400M. I don't think there's a country that's NOT vasilating on funding the A400M, not when there are several good choices out there already- the C-130J, C-17A (betcha the RAF gets more as purchases vs. leases like the current 4 they fly), and the An-70 if someone would take it seriously as a contender.

hernan · 12-18-2001, 09:14 AM

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12-17-2001, 07:05 PM	#1
Gordon Werner Insane Collector Join Date: Jun 1998 Location: Somewhere else Age: 37 Posts: 2,059	European Aircraft Maker Airbus Cuts 500 U.K. Jobs Monday December 17, 2:02 pm Eastern Time Airbus Cuts 500 U.K. Jobs European Aircraft Maker Airbus Cuts 500 U.K. Jobs, Trims Total Hours to Cope With Demand Slump TOULOUSE, France (AP) -- European aircraft maker Airbus SAS plans to cut 500 jobs in Britain and will reduce the total number of employee work hours by 20 percent to cope with declining demand, the company's top executive said Monday. Chairman Noel Foregard said Airbus will cut 500 jobs in Britain following a decision by British aerospace company BAE Systems to shut down production of regional jets. BAE Systems holds a one-fifth stake in Airbus, a European consortium. Forgeard told reporters the reduction in work hours will be structured to avoid a need for additional outright job cuts. Instead, Airbus will rely on attrition and temporary layoffs, he said. Forgeard spoke on the sidelines of a gathering to mark the first delivery of its A330-200 airliner to Air France, which has ordered eight of the planes. A spokesman for British subsidiary Airbus UK in London said separately that up to 2,000 jobs could potentially be eliminated -- 18 percent of its work force -- unless employees agree to stop working overtime and accept other cost-cutting measures. "On the manufacturing front, we have to get our costs down ... About 2,000 jobs would be at risk if we just carried on the way we are today," spokesman Howard Berry said. The British unit produces the wings and undercarriage for Airbus airliners. Airbus, based in Toulouse, has some 47,000 employees, mostly in its four founding countries: Britain, France, Germany and Spain. Like Chicago-based Boeing Co., its leading competitor, Airbus has been hit by fallout from the Sept. 11 attacks in the United States. Boeing has said it plans to cut as many as 30,000 jobs by the middle of next year. Airbus recently lowered the number of commercial aircraft it expects to deliver in 2002 to 300 from 375 before the attacks. Forgeard said it is too early to provide a forecast for 2003. In a separate matter, Forgeard said leaders from several European countries are expected to sign an international protocol on Airbus' eight-nation A400M military transport plane program Tuesday in Brussels. The German Parliament has approved funds to purchase 40 to 50 A400Ms, although the government has said it wants to buy 73. Forgeard said he hopes German lawmakers will allocate extra funding in January to allow Germany to fulfill its pledge to acquire all 73 planes.

12-17-2001, 07:21 PM	#2
Sentinel Chicken Go-Getters Go Ozark Join Date: Jan 2001 Location: DFW/THE GREAT STATE OF TEXAS Posts: 4,167	Airbus has been remarkably quiet about Italy's decision to withdraw from the A400M programme- apparently the Italian Air Force feels that the C-130Js and C-27Js it's ordered will fulfill its airlift needs. It sounds to me that the A380 has a better chance of seeing the light of day than the A400M. I don't think there's a country that's NOT vasilating on funding the A400M, not when there are several good choices out there already- the C-130J, C-17A (betcha the RAF gets more as purchases vs. leases like the current 4 they fly), and the An-70 if someone would take it seriously as a contender. __________________ *Piss on noise abatement!*

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12-18-2001, 09:14 AM	#3
hernan Senior Collector Join Date: Mar 2001 Location: CAROLINA,PUERTO RICO Age: 42 Posts: 426	HA __________________ FLY SOUTHWEST. THE ONLY WAY TO FLY ! COLLECT STAR JETS. THE BEST MODELS!