Airbus to slash 2,500 jobs in defense and space division
European aviation giant Airbus is gearing up to cut as many as 2,500 jobs from its defense and space unit. The move comes in response to a decline in demand for the company's services. The exact details of the job cuts are yet to be revealed by the company, which currently employs some 35,000 people in this division.
Job cuts linked to significant profit decline
As per AFP, the planned job cuts at Airbus are linked to a staggering 46% drop in net profit. The decline is mainly attributed to a major writedown in the company's space business. In the first half of this year, Airbus's net profit plummeted 46% to €825 million, largely dragged down by this writedown.
Airbus faces reduced demand for telecommunication satellites
Despite being a global leader in the telecommunication satellites sector, Airbus has been struggling with a slump in demand. This reduced demand is yet another reason behind the company's decision to downsize its workforce. The details of these impending job cuts have not been revealed by Airbus yet, and the company has declined to comment on the matter at this time.
