Lufthansa Plans Compulsory Lay-offs as Forecasts Travel Slump to 2024

Lufthansa Plans Compulsory Lay-offs as Forecasts Travel Slump to 2024
Airplanes of German carrier Lufthansa are parked at the Berlin Schoenefeld airport, amid the spread of the coronavirus disease (COVID-19) in Schoenefeld, Germany, on May 26, 2020. Fabrizio Bensch/Reuters
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BERLIN—Lufthansa put German workers on notice of compulsory lay-offs on Thursday, saying tumbling air travel and slow progress in union negotiations meant cuts were unavoidable after it lost 1.7 billion euros ($2 billion) in a single quarter.

The German airline, which secured a 9 billion euro state bailout in June, flew just 4 percent of prior-year passengers between April and June as a result of the COVID-19 pandemic and expects capacity to increase to only around 50 percent by the end of the year and two-thirds of last year’s level in 2021.