EMCC European Monitoring Centre on Change

XL Airways France

Company/Organisation:
XL Airways France

Geographic Location

Country: France

Company

Sector: Transportation / storage
Transportation and storage
51.10 - Passenger air transport
Number Employed: 570

Employment Effects

Announcement Date: 04-10-2019
Planned Job Reductions min: 570
Planned Job Reductions max: 570
Type of Restructuring: Bankruptcy
Employment Effect Start: 07-10-2019
Foreseen End Date: 31-10-2019
Direct Dismissals: 570

Additional Information

Due to a judicial decision all 570 XL Airways’ employees will be dismissed by the end of October 2019. On 3 October 2019, Commercial Court of Bobigny has pronounced the judicial liquidation of the company after the rejection of the last takeover proposal, as the offer has been considered inadmissible.

The works council lawyer expressed the view that the establishment of low-cost airlines on French territory, which do not follow the legal minimum in terms of legislation has allowed and even facilitated the liquidation of the company. In addition, the company's CEO regrets that XL was placed in strong competition with companies that offer fares below market prices.

In 2018, XL Airways carried 730,000 passengers with four Airbus A330s. It mainly served North America, notably the United States, the West Indies and Reunion Island, but also China.

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