Restructuring events
European Restructuring Monitor (ERM)
The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
On 28 September 2016, German airline Air Berlin announced to cut up to 1,200 jobs. The airline plans a complete overhaul of its business. The job reduction will mainly affect administrative and technical staff. Over the last 3 years the company accumulated losses of around €1.2 billion.
The restructuring foresees to retain 75 out of 144 airplanes and lease 40 airplanes together including crews to Eurowings, a subsidiary of Lufthansa. According to sources, the lease is negotiated for the next six years starting in March 2017 and Air Berlin calculates to cash in €1.2 billion of lease income. Furthermore, 35 more airplanes will be outsourced to a new strategic unit.
Currently, the management is negotiating with the works council and the United Services Union and is expecting a socially acceptable solution by February 2017. For the latest restructuring see (Air Berlin, 2014).
Eurofound (2016), Air Berlin, Internal restructuring in Germany, factsheet number 88788, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/88788.