Lufthansa layoffs: Airline is the latest to cite an AI push as it cuts 4,000 jobs

Lufthansa announced on Monday it plans to cut thousands of workers as it aims to increase profitability and efficiency, in part by relying more heavily on artificial intelligence.

The airline group said it will eliminate a total of 4,000 jobs worldwide by 2030, the majority of which will be in Germany—with a focus on administration roles, not operational ones.

“The Lufthansa Group is reviewing which activities will no longer be necessary in the future, for example due to duplication of work,” the company said in a statement. “In particular, the profound changes brought about by digitalization and the increased use of AI will lead to greater efficiency in many areas and processes.” (The Lufthansa Group includes Germany’s Lufthansa, in addition to Austrian Airlines, Swiss, Brussels Airlines, and ITA Airways, the successor to Alitalia.)

That restructuring will include the largest fleet modernization in the company’s history. To that end, the Lufthansa Group expects to add more than 230 new aircraft by 2030, including 100 long-haul aircraft.

The Cologne-based German carrier said it plans to invest in the growth of its core business, expanding locations and its international presence, including in Canada and Portugal. It also plans to extend its digital business models, as part of its “Ambition 2030” program. The changes are expected to significantly increase revenue and profit by 2030.

The airline also set new financial targets for 2028 to 2030, saying it expects its adjusted operating margin to reach 8-10% and over 2.5 billion euros in adjusted free cash flow per year.

Lufthansa, like a number of companies including Klarna, Duolingo, and Salesforce, has recently turned to AI. Some of those companies even instituted “AI-first” workplaces as a way of slashing workforces toward greater profitability—but not without some missteps.

According to a recent Nexford University survey, in the past year, around 65% of companies conducted layoffs, with 68% of companies identifying cost-cutting as the culprit, and 27% citing AI adoption.

Lufthansa financials

Lufthansa reported strong Q2 2025 results with considerable year-on-year growth, including a 27% increase in its operating profit compared to 2024, and a 3% increase in revenue (from €10 billion to €10.3 billion).

Last year, Lufthansa increased its revenue by six percent year-on-year to EUR 37.6 billion as it offered more flights, making it the highest revenue in its history. However, the operating profit (adjusted EBIT) was EUR 1.6 billion, compared with EUR 2.7 billion the previous year, as the airline faced strikes and higher global costs.

Lufthansa (Deutsche Lufthansa AG), which is traded under the stock ticker LHA on the Xetra and Frankfurt Stock Exchanges, closed up slightly on Monday.

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