ATR Announces Reduction in Production and Employees

Leading regional aircraft manufacturer ATR has announced plans to rightsize its organisation in response to the COVID-19 crisis, consistent with the reduction of its activity in the coming years due to the phenomenal loss of commercial aviation activity in recent months.

As the industry faces an unprecedented crisis, this reduction will have impact on ATR’s worldwide workforce, with an expected resizing of employees by 204 positions, including 186 in France. The information and consultation process with social partners has begun with a view to reaching agreements by autumn 2020.

Decreases in air travel since the outbreak of the pandemic have strongly affected the demand for aviation and despite government support that has enabled the company to limit necessary adaptation measures, ATR has accepted that recovery, although faster in the segment of regional air traffic, will be slow. As other major aircraft manufacturers, in order to survive and ensure the future of the business, ATR has had to consider, along with other measures such as cost containment and financial levers, adapting its workforce to this new and unexpected situation.

ATR in France will work together with its social partners to limit the impact of this plan by relying on all measures that will be made available by the government limiting layoffs as much as possible.

“The aviation industry, along with many other industries, is facing the most significant economic crisis we have ever experienced. Despite actions taken to absorb the initial shock of COVID-19, it is with a heavy heart that ATR must now adopt such measures to adjust to the overwhelming challenges we face to ensure we are ready to adapt our competences to the new future of regional aviation, keeping all engagements with our customers; supporting the fleet worldwide, and pursuing the development of products that can open new markets, such as the ATR 42-600S, Short Take Off and Landing, and the ATR 72-600F, freighter,’ says Stefano Bortoli, CEO, ATR.

“We believe that in time the demand for short distance regional aviation will recover. However, with the constraints on travelling, the natural fear of people to resume their holiday or business trip, and the uncertainty of finding a final way of defeating this virus, recovery will not be quick. In the meantime, we will make every effort to support ATR team members and ensure that where possible the reduction in our workforce will be on a voluntary basis”, he added.

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