In a move that highlights the exceptional circumstances caused by the spread of Covid-19 and the resulting drastic decline in airline bookings, as well as numerous flight cancellations, the Lufthansa Group will further reduce flight capacity than previously planned. Taking into consideration the development of loss in demand, capacity is set to be reduced by up to 50% in the coming weeks. These adjustments apply to all passenger airlines in the Lufthansa Group.
Additionally, the Lufthansa Group is considering taking their entire Airbus A380 fleet (14 aircraft) temporarily out of service in Frankfurt and Munich.
These measures are designed to reduce the financial consequences following the decline in demand. It complements the planned savings actions in the area of personnel, spanning material costs and project budgets, and other liquidity measures. In addition to an immediate hiring freeze, the Lufthansa Group has already offered its employees the use of voluntary individual personnel measures. These measures include the granting of unpaid leave and bringing forward annual leave. The company is in talks with its operating partners and trade unions in order to avoid dismissals – among other measures – by means of various part-time models, including probationary periods.
It is not yet possible to determine the financial burden that could be expected from current developments. The Lufthansa Group will publish key financial figures at the annual press conference on 19 March.
