EADS to Cut Up to 6,000 Jobs

It will also sell its headquarters in Paris

   

EADS to Cut Up to 6,000 Jobs

Defense Stocks Jets Airforce 185 EADS to Cut Up to 6,000 JobsAn French newspaper says that Boeing’s (BA) European rival will shed a significant amount of jobs as part of a reorganization plan.

According to Le Figaro, EADS, the parent of Airbus, will eliminate as few as 5,000 and as many as 6,000 positions, up to about 5% of its total workforce. The company expects to trim its payroll through attrition and voluntary retirements, Reuters notes.

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EADS opes to save up to 500 million euros from 2014 to 2016 through the restructuring. Other European news sources have said that EADS would cut 8,000 employees in a bid to save up to 690 million euros.

The company will put its Paris headquarters — estimated to be worth about 100 million euros — up for sale and will relocate the seat of its defense business from Unterschleissheim, in northern Germany, to Ottobrunn, in southern Germany.

Last year a deal to combined EADS and British aerospace giant BAE Systems was scuttled after encountering opposition from European regulators.

In October, Airbus won a $9.5 billion order for 31 of its A350 jets from Japan Airlines, the company’s largest-ever order from a Japanese airline.


Article printed from InvestorPlace Media, http://investorplace.com/2013/12/eads-cut-6000-jobs/.

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