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Lufthansa expands in Europe with launch of City Airlines alongside CityLine

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Lufthansa expands in Europe with launch of City Airlines alongside CityLine
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Lufthansa Bombardier CRJ900 | Official Website

Lufthansa has expanded its European operations with the addition of Lufthansa City Airlines to its portfolio, which already includes Lufthansa CityLine. These two regional subsidiaries operate short-haul flights but serve different purposes in Lufthansa's strategy.

Lufthansa CityLine, operating since the 1990s and with regional flights dating back to 1958, connects smaller European cities to Munich and Frankfurt, mainly using Bombardier CRJ900s. More recently, it introduced Airbus A319s and A320neos for high-demand routes. Its long history means it runs under traditional labor agreements, earning a reputation for consistent reliability.

City Airlines, launched in 2024, operates independently with a new operational structure. It employs Airbus A319s and A320neos and plans to introduce A220-300s. The airline was created to improve cost-efficiency and modernize Lufthansa's feeder network. However, unions have raised concerns over potential wage and contract dilution. They specifically criticize the hiring of non-German-speaking cabin crew, stressing that a common language is crucial for safety-critical communication.

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While both airlines handle short-haul flights into Lufthansa's hub cities, their network strategies differ. Lufthansa CityLine serves smaller destinations that do not support mainline jets, while City Airlines focuses on higher-capacity routes with larger Airbus aircraft. Destinations for City Airlines include Birmingham and Bordeaux, with plans for more expansion.

There have been fears from unions that Lufthansa City Airlines could be a cost-cutting move aimed at replacing CityLine, potentially leading to labor disputes and operational impacts. Lufthansa's dual strategy aims to compete against low-cost carriers while optimizing its feeder network, but it must address labor issues to avoid risking its service quality and employee morale.

Lufthansa's European strategy with these two airlines reflects its aim to balance cost-efficiency with service quality. The outcome of labor discussions and the success of the City Airlines model will significantly influence Lufthansa's short-haul market presence in Europe. Travelers should note which airline operates their booked flight, as CityLine tends to use smaller jets for regional travel, while City Airlines employs larger Airbus planes.

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