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Mozambique: LAM restructuring to cut workforce, two Embraer 190s expected this year – PM
1:22 CAT | 13 Nov 2025
Photo: Domingo
Mozambique’s Prime Minister, Benvinda Levi, stated today in parliament that the restructuring of the state-owned airline Linhas Aéreas de Moçambique (LAM) involves reducing the workforce and expects the arrival of two Embraer aircraft this year.
Speaking in the Assembly of the Republic in Maputo during a briefing to deputies, the Prime Minister began by emphasising that the “Government has been adopting and implementing policies and actions aimed at making the State-Owned Enterprise Sector more sustainable, profitable, and competitive,” seeking “to avoid, thereby, fiscal risks.”
READ: Mozambique: LAM restructuring process demands reducing number of employees – AIM | Watch
Regarding LAM, within “its restructuring framework,” she highlighted ongoing measures including the capital increase by state-owned companies Caminhos de Ferro de Moçambique (CFM), Cahora Bassa Hydroelectric (HCB), and the Mozambican Insurance Company (EMOSE), which have become new shareholders of the airline.
Benvinda Levi also mentioned the “clean-up of debts with commercial banks and suppliers,” the “strengthening of internal control processes—operational, administrative and financial,” and the “right-sizing of the workforce to align with LAM’s operational and technological reality.”
A source involved in the process had told Lusa earlier that, out of the 800 employees LAM had at the start of the restructuring in May, about 160 are expected to leave, including nearly 50 through retirement.
In parliament, Maria Benvinda Levi also confirmed that in LAM’s aircraft acquisition process, “two Embraer 190 models may arrive this year,” which will help “the company gradually operate with its own planes.”
“With the implementation of these and other measures, we aim to guarantee our company’s financial and operational stability, improve the quality and regularity of services provided, increase the coverage of air transport services, and ensure its greater contribution to stimulating the tourism industry,” she added.
In October, LAM had already leased an Airbus A319 from Ukraine, with a capacity of 144 passengers, to “strengthen its fleet,” announced the Mozambican Ministry of Transport.
This Airbus A319 is operated by a Ukrainian crew, in a package that also includes “guaranteed maintenance services and insurance [wet lease],” the Ministry added.
READ: Mozambique: LAM wet-leases A319 from Ukraine
According to the Mozambican ministry, the flag carrier currently operates six aircraft, five leased and one recently acquired Bombardier Q400 — LAM’s first purchase in 18 years.
On 23 September, the Mozambican Government acknowledged difficulties in LAM’s restructuring but stressed the goal of ensuring a functional and safe airline, with plans to acquire five aircraft by December.
“We never said the restructuring process would be easy; we will still face many challenges ahead,” said Transport and Logistics Minister João Matlombe, responding to journalists’ questions about repeated malfunctions on a recently acquired aircraft.
LAM has faced operational problems for several years related to a reduced fleet and lack of investment, with some non-fatal incidents linked by experts to poor aircraft maintenance. The airline is currently undergoing a deep restructuring process.
The Mozambican state airline has practically ceased international flights this year, focusing instead on domestic routes as part of the restructuring process that also led to the appointment of a new administration in May and the involvement of public companies HCB, CFM and EMOSE as shareholders.
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Source: Lusa
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