Irish flag carrier Aer Lingus has proposed eliminating up to 500 positions and will axe routes to the U.S. and Europe as it works to reduce expenses, the BBC reported Thursday.
Up to 290 workers could be let go at the airline’s head office at Dublin Airport, the outlet said, along with 140 cabin crew and 70 pilots.
Aer Lingus currently has around 6,000 employees in total.
The carrier told the BBC that it is responding to higher jet fuel prices, increased competition on transatlantic routes, a worsening macroeconomic environment, and first-quarter losses of about $117 million. The airline’s leadership is reportedly looking to achieve a 12% to 15% operating margin, which would make the company more attractive to investors.
Airline spending on jet fuel has essentially doubled since February due to the on-again, off-again closure of the Strait of Hormuz.
Route Cuts
Aer Lingus is also aiming for a 6% reduction in overall flight capacity, which would entail ending some routes and sidelining some aircraft.
According to the BBC, the carrier will discontinue service between Dublin and Denver, Minneapolis, Las Vegas, and Seattle.
Aer Lingus currently serves over 20 destinations in the U.S. from Dublin.
Connections to European destinations such as Frankfurt, Hamburg, Malta, and Split, Croatia, could also be axed.
Labor unions representing Aer Lingus workers said they will start discussions with the airline in an attempt to minimize layoffs.
