National airline KLM is slashing around 5,000 jobs, almost 15% of its workforce, in a move the company says is necessary to survive.
CEO Marjan Rintel announced in a press release on Thursday that without serious action the airline, which was founded in 1919 and is one of the oldest in the aviation industry, could fold.
High fuel prices and global unrest are major factors in pressure the company is facing.
KLM was effectively taken over by Air France in 2004, though the Dutch brand kept its own name and management. Of the jobs being cut, 2,000 will be moved to the Air-France KLM group.
Labour unions have expressed concern about the move, with FNV and CNV saying workers are footing the bill for a major corporation.
KLM says compulsory layoffs likely won’t be needed, and that voluntary departure schemes and not replacing staff who leave will help make the needed cuts.
