Airbus superjumbo crisis claims first casualties

11th October 2006, Comments 0 comments

11 October 2006, MADRID — The delays over the Airbus 380 Project have claimed its first victims in Spain, with the loss of 180 jobs from a company which supplies parts for the motor.

11 October 2006

MADRID — The delays over the Airbus 380 Project have claimed its first victims in Spain, with the loss of 180 jobs from a company which supplies parts for the motor.

Turbo Propulsores, based in the Basque Country, announced the job losses on Wednesday.

Spain and France had been worried that the delays over the completion of the 'super jumbo' would cost thousands of jobs.

Spain, a minority partner in Airbus parent EADS, had said it wants to raise the country's stake to safeguard jobs.

Spanish economy minister Pedro Solbes said he wanted to protect the EADS and Airbus work carried out in Spain, according to comments reported in the Spanish dailies ABC and El Mundo.

The country owns 5.4 percent of EADS through state holding company SEPI.

Power has been shared between French and German interests in EADS since its creation seven years ago.

Spain was, until recently, seen as a secondary player with no board votes and little direct influence over strategy.

However, France has paid more attention to the Spanish shareholding since Russia unexpectedly grabbed a 5 percent stake in EADS via a state bank and hinted it could buy more.

A French official said Paris was in talks with Madrid over the affair.

The new Airbus head, EADS co-chief executive Louis Gallois, said on Tuesday the group's structure had to be simplified and that decisions would be made in the next few months that could lead to job losses among the company's 55,000 staff.

This came after problems with the production of Airbus's flagship A380 superjumbo led to two-year delays in deliveries and a EUR 4.8 billion future profit shortfall, plunging the firm into crisis.

Airbus Spain employs 3,000 workers in three factories -- two outside Madrid and one in the south of Spain.

[Copyright EFE with Expatica]

Subject: Spanish news

 

 


 

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