CAE Inc., a leading manufacturer of flight simulators, announced on April 8, 2026, a workforce reduction of two percent and a review of its operations at training centers in response to anticipated spending cuts by commercial airlines and evolving market conditions.

Workforce Reduction and Location Impact

The company’s decision will result in approximately 280 job losses, with the majority – around two-thirds – impacting employees in Quebec, particularly in the Montreal area where CAE’s headquarters are located. This move is part of a larger transformation plan initiated last year by CEO Matthew Bromberg.

Mitigation Efforts for Employees

In addition to the layoffs, CAE is offering early retirement packages to eligible employees. A work-sharing program is also being implemented to support factory floor staff in Montreal, aiming to lessen the impact of the workforce reduction.

Facility Review in Europe

CAE is undertaking a comprehensive review of its training centers in Brussels, Stockholm, and Barcelona, Spain. The company is considering the potential sale of these facilities as part of its strategy to optimize its asset portfolio and prepare for future growth.

Strategic Transformation Plan

The initial phases of the transformation program, unveiled by CEO Matthew Bromberg in November, included cost-cutting measures. These actions were taken in anticipation of decreased air travel demand and a reduced need for commercial pilots. The company aims to enhance operational efficiency and strengthen its financial position.

These strategic adjustments reflect the challenging economic environment facing the aviation sector, driven by factors like fluctuating fuel prices and geopolitical uncertainties. CAE’s proactive approach demonstrates its commitment to maintaining its market leadership and providing flight simulation and training solutions.