Latvia’s national airline airBaltic is preparing changes affecting approximately 500–700 positions across its bases in Riga, Vilnius and Tallinn, as it moves toward a smaller operation focused on financial stability.
The company announced the plans on 5 October and notified Latvia’s State Employment Agency of a proposed collective redundancy process. With approximately 3,000 employees across the Baltic states, the affected positions represent roughly one-sixth to almost one-quarter of its workforce.
The final number remains uncertain. Consultations with trade unions include possible reductions in working hours for pilots and cabin crew, while new organisational structures for other parts of the company are expected to be defined by mid-October. Chief executive Erno Hildén said individual employment decisions had not yet been finalised. airlinergs.com
The staffing changes accompany a substantial revision of airBaltic’s fleet and network strategy. Latvian public broadcaster LSM reported that the airline plans to reduce its fleet from 54 aircraft to approximately 36 by the end of 2026, before a more limited expansion to 40 aircraft by 2031.
Riga would remain the main base, with greater emphasis on commercially stronger routes. The company has already announced reductions to its network for the next summer season.
The plan also envisages stronger year-round arrangements under which airBaltic supplies aircraft and crews to other airlines. Such contracts can provide an alternative source of revenue alongside flights sold directly to passengers, although their commercial value depends on pricing, aircraft availability and operating costs.
The restructuring follows another loss-making year. airBaltic reported a €44.3 million loss for 2025 despite revenue rising by 4% to €779.3 million. The loss was substantially smaller than in the preceding year, but the airline continued to seek a more sustainable financial model. lsm.lv
The consequences will be regional. Employees in Estonia and Lithuania are included in the proposed changes, while decisions about routes and aircraft allocation will influence connections across all three Baltic countries.
For passengers, the employment announcement does not itself establish which additional services might be reduced. Those effects will become clearer through published schedules and subsequent network decisions.
The coming weeks will therefore determine both the human and operational scale of the restructuring. Union consultations may change the balance between redundancies and reduced workloads, while management must demonstrate that a smaller airline can maintain reliable services and improve its finances.
