Lufthansa under fire after airline says it is replacing thousands of human workers with AI

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Lufthansa commits to workforce reductions

Lufthansa Group sign outside office
(Image credit: Lufthansa Group)
  • Lufthansa Group says it will make around 4,000 workers redundant before 2030
  • Streamlined operations and tech (like AI) are being blamed
  • Lufthansa still plans big expansions, with new aircraft

Lufthansa has confirmed it will cut an estimated 4,000 jobs between 2025 and the end of the decade in favor of artificial intelligence.

The company revealed administrative roles in Germany would be mainly at risk, with the cuts tied to AI, digitalization, automation and the consolidation of its operations.

By streamlining processes across all of its partners, including SWISS, Austrian Airlines, Brussels Airlines and ITA Airways, Lufthansa Group hopes to save €300 million (around $352 million) annually.

Lufthansa Group to swap out administrative roles for AI

With an estimated 101,700 employees in 2024, the reduction not only represents the biggest cut since the pandemic, but it also accounts for a not-so-insignificant 4% of the workforce.

Lufthansa says it will be “reviewing which activities will be no longer necessary in the future, for instance due to duplication of work,” as part of its slimming efforts.

Despite cutting roles, Lufthansa still expects strong travel demand and “significantly increased profitability” by 2030. The Group has revealed plans for its largest-ever fleet expansion, including 230+ new aircraft by that same year (100 of which will be long-haul jets).

Lufthansa’s 2025 budget spinoff, Eurowings, is also set to receive 40 new Boeing 737-8 MAX aircraft, making it one of Europe’s youngest fleets. The Group wants Eurowings to become a top-10 German tour operator.

The company also has plans to solidify its status in other areas – Lufthansa Technik is expanding into defense, and its cargo unit is aiming for top-three global freight carrier status through automation/digitalization and a €600 million investment in its Frankfurt cargo hub, though it faces still competition from the likes of FedEx and UPS which retain first and second places.

Share prices have fallen by more than 4% in the day following the announcement.

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Craig Hale
Craig Hale

With several years’ experience freelancing in tech and automotive circles, Craig’s specific interests lie in technology that is designed to better our lives, including AI and ML, productivity aids, and smart fitness. He is also passionate about cars and the decarbonisation of personal transportation. As an avid bargain-hunter, you can be sure that any deal Craig finds is top value!

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