German engine manufacturer MTU Aero Engines has announced it plans to adjust its personnel capacities due to the impact of the coronavirus pandemic on international aviation.
The engine manufacturer, which specialises in low-pressure turbines, high-pressure compressors, turbine centre frames as well as manufacturing processes and repair techniques, says it aims to reduce capacity by 10 to 15 % at its German and international locations by the end of 2021.
According to the company, compulsory redundancies are to be avoided.
Increased use of flexible measures
MTU Aero Engines says the cuts will be achieved through individual agreements, which will include partial retirement and early retirement arrangements.
In addition, measures that have already been initiated will be used, including freezing extensive hiring, not filling vacant positions and reducing working hours.
The company announced in March that it is temporarily shutting down some of its operations at selected sites in response to the global fight against the spread of the coronavirus pandemic.
MTU Aero Engines CEO Reiner Winkler commented on the announcement: “As a result of the pandemic, the aviation industry will remain under pressure for some time to come.”
“It will be years before air traffic – which is the foundation on which our activities in series production and our maintenance business rest – returns to pre-crisis levels.”
No compulsory redundancies
“We have no interest in compulsory redundancies or social plans and will coordinate our approach very carefully with the works council”, Winkler explained.
“We want to keep as many of our highly qualified colleagues on board as possible during and after the crisis. We will continue to offer our partners and customers the high level of quality and service they have come to expect.”