Airbus is laying off 2,500 workers as part of organisational changes in its struggling defence and space division, amid ongoing challenges such as disrupted supply chains and rising costs.
The defence and space sector faced financial losses, including a €477 m loss related to the A400M military transport plane, exacerbated by high inflation and setbacks in the European space sector.
Despite challenges in its defence division, Airbus has seen strong performance in commercial aviation, consistently outpacing Boeing in orders and deliveries while maintaining a backlog of 8,585 commercial aircraft as of June.
Boeing has experienced setbacks, including a manufacturing slowdown ordered by the US Federal Aviation Administration due to safety issues, contributing to its ongoing struggle for recovery after past crashes.
Mike Schoellhorn, the chief executive of Airbus’s defence and space division shared “We want to shape the division so it can act as a leading and competitive player in this ever-evolving market. This requires us to become faster, leaner and more competitive.”
