Up to 3000 jobs go at Europe's largest airline

Air France/KLM will shed employees in next two financial years.
Air France/KLM has already opted to defer delivery on two of its B777 freighters.
Air France/KLM has already opted to defer delivery on two of its B777 freighters.

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Air France/KLM will aim to cut as many as 3000 workers by 2011, although the company is planning to avoid compulsory lay-offs by not renewing short-term contracts or replacing retirees.

The comments were made by a company spokeswoman today, according to the Reuters news agency. Air France/KLM has already cut 2400 jobs in the fiscal year ending in March and forecast an operating loss for that period of around US$265 million.

The airline, Europe's biggest, faced a torrid third quarter, with a 12.5% drop in freight capacity, but European airlines have fared significantly worse since then, with particularly poor volumes in the first two months of this year. IATA's latest results for Europe showed a -23.1% drop in capacity across the board.

Air France/KLM has already opted to reduce cargo capacity by 13% for the summer period this year and has deferred the delivery of two 777 freighters from Boeing, originally scheduled for later in 2009. 

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