The Straits Times
Published on Nov 09, 2012

Iberia to axe 4,500 jobs to stay alive


LONDON (AFP) - Iberia is to shed 4,500 jobs in a bid to save Spain's biggest airline from collapse and more may follow amid the economic crisis in the euro zone country, parent group International Airlines Group said on Friday.

"Iberia is in (a) fight for survival," the carrier's chief executive Rafael Sanchez-Lozano said in a statement issued by IAG, which also owns British Airways.

"It is unprofitable in all its markets. We have to take tough decisions now to save the company and return it to profitability.

"Unless we take radical action to introduce permanent structural change the future for the airline is bleak. However this plan gives us a platform to turn the business around and grow," he added.