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Airbus faces union pushback over satellite business consolidation plans

Airbus Defence & Space is encountering growing resistance from French labour unions over plans to consolidate its Airbus Constellations Satellites unit, a move that has sparked internal concern despite the division’s strong performance and growth outlook.

The proposed consolidation would see Airbus integrate the Constellations business more closely into its wider satellite operations. However, the plan has been sharply criticised by French trade unions, which argue that the restructuring lacks industrial, economic, and social justification.

Unions Question Rationale behind Restructuring

The Airbus Constellations Satellites unit traces its origins to the former Airbus OneWeb Satellites joint venture, established in January 2016 by Airbus and Eutelsat OneWeb. The venture was created to manufacture large volumes of low-Earth orbit satellites, with production centred at a facility in Florida.

Following Eutelsat’s full acquisition of OneWeb in September 2023, the satellite operator sold its stake in the manufacturing joint venture to Airbus several months later. Airbus then rebranded the operation as Airbus Constellations Satellites, making it a wholly owned subsidiary.

Despite this ownership structure, Airbus now intends to absorb the unit into its broader Defence and Space organisation. The Confédération Française Démocratique du Travail (CFDT), one of France’s major trade unions, formally raised objections to the plan in December 2025. The union said the proposal had been poorly received by employees and questioned why Airbus would seek to absorb a business that is profitable, growing strongly, and already fully owned by the group.

Another union, the Union Nationale des Syndicats Autonomes (UNSA), went further, describing the consolidation plan as industrially and economically unsound, while also warning of potential social consequences for employees.

Wider European Space Ambitions

The internal debate comes as Airbus pursues a broader restructuring of its space activities at a European level. The company is advancing plans to combine parts of its space operations with those of Thales and the Thales–Leonardo joint venture, in a bid to create a more competitive European space champion.

Under the proposed structure, ownership of the merged space entity would be split between the three industrial partners. Airbus would retain a majority stake of 35 per cent, while Thales and Leonardo would each hold 32.5 per cent.

While Airbus argues that consolidation is necessary to strengthen Europe’s position in the global space market, union opposition highlights the challenges of balancing industrial strategy with workforce stability. As discussions continue, the outcome could have significant implications for Airbus’s satellite manufacturing operations and its employees in France and abroad.