Italian flag-carrier may eliminate close to 1,000 jobs following an agreement between airline management and its trade unions, according to an Italian news agency report.
Adnkronos reported that redundancy notices would go out from Oct. 31 to 994 personnel—879 ground staff, 61 pilots and 54 cabin crew. It said the deal had been signed over the weekend by the company and three of its four main unions.
Cutting staff numbers was a central demand of Etihad Airways, which is taking a 49% stake in the loss-making Italian airline in a deal worth €1.75 billion ($2.35 billion). It still must receive final regulatory approval.
Etihad’s investment will be provided through a combination of equity injections, asset purchases and other financing facilities, and funding arrangements to restructure Alitalia’s balance sheet.
Alitalia did not respond to ATW requests for information Monday.