The five-year plan calls for the shedding of more than 2,800 jobs from the 18,000 strong workforce, largely through retirement. The heaviest losses are among ground staff, where 1,900 jobs are to go.
Overall pilot numbers will not be cut, although the group's expensive senior flightcrew are likely to be encouraged to retire. New recruits will be signed on cheaper contracts.
Pay cuts are not included in the package, but a wage freeze is to be put in place. The biggest structural change in Cempella's announcement is the division of the group into a series of independent subsidiaries, including a separate unit to run the under-performing long-haul operations.
The plan is to focus long-haul growth on Milan's Malpensa Airport, which is due to become the city's main hub once construction work is completed. The first phase of the project is due to become operational at the start of 1998.
Alitalia aims to use the new Malpensa base to tempt back from the northern Italian market long-haul passengers now being poached by Zurich and Munich.
Another 15 aircraft will come into the long-haul passenger fleet. Alitalia now operates eight McDonnell Douglas MD-11s, five Boeing 767s and seven 747s.
Cempella has also called for L3 trillion in fresh capital, to keep the heavily indebted group afloat. The parent state-holding company IRI has agreed to pay over L1.5 trillion by mid-June.
Another L500 billion will be raised by asset disposals, primarily through the sale to Fiat of the headquarters building in Rome and the airline's share in the Alpha Avia maintenance business. The final L1 trillion is to come from IRI or other institutional investors once operations begin at Malpensa.
Previous restructuring plans have foundered on union opposition, but some within the company believe that Cempella's latest proposals could fare better.
Source: Flight International