Airbus unions call strike as new A380 setback hits shares

Airbus unions in Europe today ordered a strike to protest against planned job cuts, including 1,600 in the UK, as shares of parent company EADS tumbled on the announcement that work on the A380’s slow-selling freighter version had halted

Five main French Airbus unions called on staff at the European aircraft maker’s sites across France to stop work in protest at 10,000 planned job cuts and the sale or closure of six plants, announced by Airbus this week.

German Airbus workers may join the strike, union officials said, along with staff at other plants belonging to defence group EADS in both countries.

In Paris, European Aeronautic Defence and Space Co. shares fell as much as 5.2 per cent to €23.35 as markets digested confirmation by Airbus late yesterday that work on the troubled A380 superjumbo freighter had been halted indefinitely.

The moves follows FedEx’s November decision to cancel its order for 10 A380 freighters, leaving Airbus with just 10 orders from one remaining customer, United Parcel Service.

The freight carrier agreed on a new timetable for deliveries with Airbus last month, but said it may still decide to cancel. No date had yet been fixed for work on the freighter programme to resume, an Airbus spokeswoman said.