Air Baltic weighs cuts affecting up to 700 jobs

Latvian airline Air Baltic says 500 to 700 positions could be affected as it updates its business plan, ERR reported. The company, which has nearly 3,000 employees across the Baltic states, said it is adapting its operations to a new business model.

The potential changes would affect roles at the airline’s bases in Riga, Vilnius and Tallinn. Air Baltic said the estimate could change and that no final decisions have been made about individual employees.

The airline is consulting unions on whether to reduce pilots’ and cabin crew members’ workloads. It is also developing a new structure for the rest of the organisation, expected to be ready by mid-October. Air Baltic said it would provide employees with more information during the month.

The company said the changes are intended to support financial stability, a more focused route network and greater efficiency. They will not affect the current flight schedule, and all planned flights are operating as scheduled.

Air Baltic has notified Estonia’s Unemployment Insurance Fund of the collective redundancy process. In September, the airline said it had begun restructuring its financial obligations under US law and secured a new 350 million euro loan with an interest rate of about 12 percent. In August, Latvia’s parliament approved a rescue plan that could provide the airline with up to 30 million euros in additional state funding.

Air Baltic reported a loss of 44.34 million euros last year, while revenue rose 4.2 percent from 2024 to 779.34 million euros.