EMCC European Monitoring Centre on Change



Geographic Location

Country: France
Location of affected unit(s): Toulouse (Haute Garonne), Saint Nazaire (Loire Atlantique), Nantes (Loire Atlantique), Meaultes (Somme)


Sector: Manufacturing
Manufacture of transport equipment
30 - Manufacture of other transport equipment
Number Employed: 22000
Group: EADS

Employment Effects

Announcement Date: 28-02-2007
Planned Job Reductions min: 4300
Planned Job Reductions max: 4300
Type of Restructuring: Internal restructuring
Employment Effect Start: 01-06-2007
Foreseen End Date: 31-05-2011

Additional Information

The CEO of European aircraft manufacturer Airbus announced on 28 February 2007 its restructuring plan, 'Power 8'. The programme is a response to the financial burden resulting from the delays in the delivery of the A380 plane. France will be the most affected country by the plan, suffering a total of 4,300 job cuts between June 2007 and May 2011. Airbus is entirely or partially closing down two factories in France: Saint Nazaire and Meaulte. The activity of the site in Meaulte may be maintained, but with a partnership. One of the two sites in Saint Nazaire, specialised in manufacturing of tuyautery (aircraft pipes), will be sold. The total number of job cuts across all Airbus sites in France will reach 4,300, including 1,100 in Toulouse. Airbus, a unit of the European Aeronautics Defence and Space Company (EADS), currently employs 22,000 in France. On 28 February 2007, following the announcement, some workers decided to stop work and gathered in front of the management. French politicians are particularly sensitive to job cuts in the run up to presidential elections in April and May 2007. In Brussels, union officials from Britain, France, Germany and Spain met to coordinate their strategies with the European Metalworker's Federation (EMF/FEM), and hinted that the first strike action may be only weeks away. Three French unions called for a half-day strike at the company's French factories on Tuesday 6 March and a pan-European day of action was announced for the middle of the month. The cost-cutting scheme aims to save the company 5 billion Euros by 2011 and 2 billion Euros per year thereafter. It is expected to include as many as 10,000 job cuts, the outsourcing of manufacturing, divestment of factories, as well as a reorganisation of assembly work. The company is planning to cut 3,700 jobs in Germany, 1,250 in the UK and 450 in Spain.