Gatwick Airport is planning to axe up to 600 jobs in ‘significant restructure’ after impact of Covid-19 pandemic on passenger and air traffic numbers
- Gatwick Airport has announced a ‘significant restructure across its business’
- Up to 600 jobs could be cut, which amounts to around a quarter of workforce
- Passenger numbers fell by 80 per cent in the normally busy month of August
Gatwick Airport is planning to axe up to 600 jobs in a ‘signifcant restructure’ after feeling the impact of the Covid-19 pandemic on passenger and air traffic numbers.
The airport is operating at around 20 per cent of its capacity and has around 75 per cent of its staff on furlough.
Consultations have begun with staff over redundancies, as it prepares to cut up to 24 per cent of its workforce.
In March the airport, which is only operating its North Terminal, secured a £300million loan to secure it after flights were grounded by Covid-19.
Quarantine measures from tourist hotspots have damaged hopes of a summer of recovery for the airline industry, with redundancies reported at airlines including Ryanair, BA, Virgin and Jet2.
Gatwick Airport is set to make up to 600 people redundancy after struggling to cope financially during the Covid-19 pandemic
In a statement the airport said it was restructuring to ‘further reduce operating and staff costs in light of the dramatic impact COVID-19 has had on its passenger and air traffic numbers’.
Gatwick Airport, Chief Executive Officer, Stewart Wingate said: ‘If anyone is in any doubt about the devastating impact COVID-19 has had on the aviation and travel industry then today’s news we have shared with our staff, regarding the proposed job losses, is a stark reminder.
‘We are in ongoing talks with Government to see what sector specific support can be put in place for the industry at this time, alongside mechanisms which will give our passengers greater certainty on where and when they can safely travel abroad.
‘This support will not only help Gatwick but the wider regional economy which relies on the airport.
‘I want to take this opportunity to thank all of our staff, those who have worked tirelessly to keep Gatwick open throughout the pandemic and those who have had to remain on furlough, for their dedicated tenacity, professionalism and team spirit. We will continue to do all we can to preserve as many jobs as possible.
‘Gatwick will recover from this pandemic and we will emerge from the restructuring we are proposing a fitter and stronger organisation which is best placed to offer our passengers and our airlines a modern and innovative airport, ready for growth.’
British Airways, which grounded its Gatwick fleet in March following the outbreak of Covid-19, had said that all short-haul flights from Gatwick will be consolidated into Heathrow until at least September.
It comes after Airbus, Europe’s biggest aircraft maker, announced plans to slash nearly 15,000 jobs across its global operations – including 1,700 in the UK.
Meanwhile EasyJet said 4,500 jobs were at risk and Ryanair threatened to cut 3,500 jobs if pilots and cabin crew don’t agree to pay cuts last month.
Ryanair, Europe’s biggest budget airline, said it had already cut 250 office staff around the continent.
Michael O’Leary, Ryanair’s CEO, said the aviation industry had suffered the ‘worst downturn we have ever had in our 100-year industry.’
He told Good Morning Britain: ‘After 9/11, the last great shock to the airline industry, flights were grounded for four days.
‘So far with this pandemic we’ve been grounded for almost four months across the UK and Europe, so this is historic.