The strong Swiss franc and “difficult market situation” are driving to significantly restructure its Basel operation, including the loss of the majority of its workforce.
The facility, based at EuroAirport Basel, currently employs 304 staff, but that number will come down to 82 as part of the reorganization. Job losses will commence already this month. As part of the process,Technik Switzerland (LTSW) in Basel will also change its offering, focusing only on line maintenance, light base maintenance and logistics services at Basel, the MRO provider says.
Technical maintenance of VIP aircraft will cease, as well as component services and the engine services operation located there. The 22 jobs at the engine shop continue to exist, but will shift to Lufthansa Technik sister company, Swiss.
“Only a rigorous focus on one core product will create conditions that ensure the continued existence of Lufthansa Technik Switzerland in Basel,” LTSW CEO Rainer Lindau says in a statement.
The company notes that “the demand for maintenance of regional aircraft and their engines had declined dramatically and the company was unable to compensate for these disproportionate losses in capacity utilization through its business in the maintenance of VIP and executive jets.”