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Iberia announces voluntary redundancy for nearly 10% of its staff

Iberia announces first mass layoff in years

Iberia is launching a voluntary redundancy program for almost a thousand employees. The move is linked to workforce renewal and development strategy through 2030. This will impact the airline’s structure and Spain’s labor market.

Iberia’s decision to launch a voluntary redundancy program immediately affects nearly one in ten positions at the company. For the Spanish labor market, this signals not only sweeping changes within one of the country’s largest airlines, but also points to shifting personnel demands in the aviation sector. Amid increasing competition and technological advances, Iberia is prioritizing workforce renewal, a move that could influence employment trends across the industry.

As part of the registered Expediente de Regulación de Empleo (ERE), the company plans to part ways with 996 employees, accounting for 9.4% of its total workforce. The process will be completely voluntary and include various departments: 753 ground staff, including technical maintenance, operations, and corporate divisions, as well as 243 crew members — among them, 106 pilots and 137 cabin crew. According to Cinco Días, negotiations between management and employee representatives have already begun, and a preliminary meeting schedule has been agreed.

Strategy and new challenges

The voluntary layoff plan aligns with Iberia’s long-term strategy for 2025–2030. The company plans to hire up to one thousand new employees annually to maintain production growth at 3–5% per year. This approach allows the company to regularly refresh its team and adapt to new market demands. According to russpain.com, such measures are often used to rejuvenate staff and introduce new skills required for digital transformation.

In recent years, unions—especially Sepla—have actively pushed for the launch of voluntary separation programs. Following record financial results, with operating profit reaching €1.313 billion in 2025, Iberia’s management considered the time right for major changes. The company emphasizes that updating employee profiles is crucial for implementing the ‘Flight Plan 2030’ and for future growth.

Age structure and exit conditions

A significant proportion of Iberia employees are over 50, and 10% of staff are already past the age of 60. Pilots and cabin crew have options to move to reserve roles or take early retirement with compensation. After 60, pilots can reduce their flying hours to 55%. For ground staff, negotiations on a new collective agreement have recently concluded, allowing the return of voluntary ERE practices used previously.

In 2022, a separate program for employees over 60 was discussed, but no agreement was reached at that time. Currently, Iberia is already implementing cuts in its ground handling division under the South Europe Ground Services brand, where up to 1,500 people can opt to leave voluntarily due to the loss of some contracts at Aena airports.

Investment and fleet expansion

In the coming years, Iberia plans to invest €6 billion, with 70% allocated for the purchase and modernization of aircraft. The long-haul fleet is expected to grow from 45 to 70 planes, allowing the company to narrow the gap with European competitors. Operating profitability is projected to remain at 13.5–15%, and production metrics are already 20% higher than pre-pandemic levels.

Recalling the experience of 2012, when over 3,000 employees were laid off as part of an anti-crisis plan, Iberia’s current approach appears less traumatic and more flexible. Voluntary schemes help avoid mass protests and maintain staff loyalty, which is especially important amid growing competition in the airline market.

In recent years, Spanish companies have increasingly used voluntary redundancy programs to adapt to new economic realities. For example, in the banking and telecommunications sectors, these schemes have helped renew workforces without major social upheavals. Analysts note that such measures are becoming standard practice for major employers seeking flexibility and resilience.

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