airBaltic May Cut 700 Jobs in Bankruptcy Restructuring
airBaltic may eliminate up to 700 positions across its Baltic hubs following a Chapter 11 bankruptcy filing driven by debt and fuel costs.
airBaltic announced Monday that it may eliminate between 500 and 700 positions across its hubs in Riga, Vilnius, and Tallinn. The workforce reductions are part of a bankruptcy restructuring plan following the airline's Chapter 11 filing in New York last month.
The Latvian carrier, which employs roughly 3,000 people, cited high debt, elevated fuel costs, and operational disruptions caused by the Iran war as the primary reasons for the filing. As part of its new business strategy, the company plans to reduce its Airbus A220-300 fleet by 60 aircraft by 2031 and expand year-round ACMI partnerships.
While current flight schedules remain unaffected, the airline has notified the State Employment Agency of Latvia of the collective redundancy process. Final decisions regarding individual employees are expected by mid-October, following consultations with trade unions and the establishment of new organizational structures.
