Restructuring events
European Restructuring Monitor (ERM)
The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Malév Hungarian Airlines will dismiss 150 employees by the end of 2009, news agencies reported on 3 June 2009. According to official numbers the headcount of the company will decrease from 1472 to 1322. Layoffs will only affect the mother company and thus leave employment level unchanged in other parts of Malév group. Downsizing was initiated as part of a strategy that aims at saving 5-8% of the airline's operational costs. Malév's executives also indicated that they expected the company to turn profitable within the next three years although it would certainly require further dismissals affecting around 1000 workplaces.
The dismissals took place in spite of an improvement of some important company indicators. In 2009, Malév plans to deliver more passengers (3.1 million) on fewer routes (51,779) with better seat utilization (65.6%) compared to the previous year. It is likely that the company will try new ideas such as offering remaining free seats at discount prices.
Eurofound (2009), Malév Hungarian Airlines, Internal restructuring in Hungary, factsheet number 69642, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/69642.