KLM plans to reduce its workforce by about 1,000 positions through productivity improvements and replace the Airbus A320s planned for its European fleet with smaller Embraer E195-E2s. The Air France-KLM airline will retain the A321neo and phase out its Boeing 737s and Embraer E190s over the coming years. The changes form part of a restructuring intended to improve annual earnings by €1 billion and better align capacity with demand across the network from Amsterdam-Schiphol.
The expected reduction of 1,000 positions is distinct from a wider reorganisation affecting about 5,000 positions. That broader figure includes work already reorganised at KLM Catering Services, activities set to move from Ground Services to external providers, and positions transferring to Air France-KLM. KLM expects to limit the effect on employees through natural attrition, voluntary arrangements and transfers.
The airline is targeting at least 8% structural productivity growth by 2028. It has already achieved more than €750 million in structural improvements, but says existing measures have not been sufficient amid global instability, high fuel prices and pressure on the aviation industry.
On the European network, the smaller E195-E2s are intended to match aircraft capacity more closely to demand and give regional subsidiary KLM Cityhopper a larger role. KLM’s announcement refers to replacing planned A320s; it does not specify whether any aircraft orders will be cancelled or amended.