KLM Plans 1,000 More Job Cuts

The airline will outsource work and transfer other positions to Air France-KLM as it seeks lower costs.

A KLM Boeing 787
KLM Boeing 787 aircraft (Photo: KLM | Patrick Kop)
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Key Takeaways:

  • KLM is implementing a significant restructuring to achieve an 8% productivity increase by 2028, which includes eliminating approximately 1,000 positions and transferring/outsourcing an additional 2,800 roles.
  • Despite a profitable third quarter, the airline states its overall profitability is insufficient to fund future investments, targeting an additional €1 billion in annual earnings amidst challenges like high fuel costs and global instability.
  • The restructuring also involves modernizing its European fleet by replacing planned Airbus A320s with Embraer E195-E2s for its regional subsidiary and phasing out Boeing 737s and older Embraer E190s.
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KLM expects to eliminate approximately 1,000 positions through productivity improvements as part of a restructuring announced Thursday.

The Dutch carrier said it would seek to limit the impact through natural attrition, voluntary arrangements and transfers. Other changes include moving about 800 ground services positions to outside providers and transferring 2,000 positions to Air France-KLM, including 1,500 at customer contact center Cygnific.

“But KLM’s future is not guaranteed,” CEO Marjan Rintel said in a statement, citing global instability, high fuel prices, and pressure on the industry.

KLM is targeting a structural productivity increase of at least 8% by 2028, alongside restrained wage growth. It said an additional €1 billion in annual earnings improvement is needed to fund investments.

The changes also affect its European fleet. KLM will replace planned Airbus A320s with Embraer E195-E2s, giving regional subsidiary Cityhopper a larger role. The A321neo will remain, while Boeing 737s and Embraer E190s will be phased out.

The announcement came as KLM reported a third-quarter operating profit of €458 million, up from €352 million a year earlier. For the first nine months of 2026, operating profit reached €526 million on revenue of €10.9 billion.

Despite the improvement, KLM said profitability remains insufficient to support its investment needs. Higher fuel costs and Middle East flight cancellations weighed on its passenger business, while Transavia faced competition and operational challenges.

“We need to increase it to more than 8% to secure a financially healthy future for KLM,” Chief Financial Officer Bas Brouns said of the airline’s profit margin.

Ryan Ewing

Ryan founded AirlineGeeks.com in February 2013 and has spent more than a decade covering the airline business. His work has been featured by CNN, WJLA, CNET, and Business Insider. His aviation experience spans airport operations, Part 135 regulatory compliance, and airline crew workforce planning, along with time behind the yoke of a Cessna 172 and interviews with airline executives. Ryan now serves as Group President of Firecrown Media’s Aviation Group. He holds a B.S. in Air Transportation Management and an MBA from Arizona State University and teaches Airline Management at Embry-Riddle Aeronautical University.
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