Air France-KLM has confirmed it is to cut 2,600 jobs at its French airline unit next year.

Europe’s biggest airline told its central works council that it would seek the cuts through attrition and early retirements.

It has set a target of implementing the latest set of cuts by the end of 2014.

The airline said: “Within a difficult economic environment, particularly in France and south Europe, the Air France Group needs to implement the measures required to ensure an enduring turnaround in its short and medium-haul and cargo businesses.”

Air France-KLM last week said that its so-called Transform 2015 programme is on track, though worse-than-projected economic conditions in many parts of the world are making it harder to effect a recovery.

Chief executive Alexandre de Juniac put together the cost-savings plan last year that already includes more than 5,100 job cuts at the French airline, representing about 10% of the total. Those reductions, to be completed by the end of 2013, are also through voluntary redundancy.

The group last week announced net losses of €793 million for the first half of 2013, against wider losses of €1.27 billion in the first half of last year.