Air Baltic will cut 500 to 700 jobs as it reshapes its business around year-round ACMI and wet-lease operations, while reducing its owned Airbus A220-300 fleet. The Latvian carrier is also keeping its current schedule intact as it presses ahead with restructuring in Riga, Vilnius and Tallinn.
The shift makes wet leasing a core part of the airline’s revised model, rather than a supplementary activity. Air Baltic is moving towards longer-term partnerships with other carriers, supplying aircraft and crews under contracts designed to improve utilisation and balance the heavy seasonality of its passenger business.
The staffing reduction forms part of a wider cost-cutting drive aimed at stabilising the airline’s finances during Chapter 11-related proceedings. Management is using the restructuring to lower fixed costs and adapt the network to a smaller in-house fleet, with Riga remaining the main operational focus.
Air Baltic’s recent business plan already pointed to a smaller A220-300 operation and stronger reliance on ACMI work. The latest job-cut plan extends that strategy, underlining how important wet-lease flying has become to offset pressure from fleet reduction and a fragile balance sheet.