The large aviation company will lay off thousands of employees.

According to a statement from Airbus, the measures will spread across different country divisions, with Germany taking the biggest hit at 689 positions, followed by France with 540 and the UK with 477 positions. Airbus announced that approximately 1,128 people will lose their jobs in Space Systems, followed by a reduction of 618 positions at the headquarters and other operations.

The European aircraft manufacturer is reducing its positions due to struggling to compete with more agile players like SpaceX and rising costs stemming from certain programs. In a statement from Airbus, it was noted that the aim of the measures is to reduce the fixed cost base and that almost all of the affected positions are defined as "overhead positions."

ADDITIONAL BUDGET FOR SPACE PROGRAMS

The cuts, which Airbus said are equivalent to about 5% of the workforce in its Defense and Space division, are slightly lower than the approximately 2,500 reductions Airbus projected in October.

In a statement made in June, Airbus indicated that it would incur costs of around 900 million euros (946 million dollars) related to certain space programs, citing "complex and sophisticated products" as the reason for the development risks.