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Tui Group to cut 8,000 jobs due to pandemic impact

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Tui Group is to cut 8,000 jobs worldwide due to COVID-19, which it describes as “the greatest crisis” the travel industry has faced.

The company said: “We are targeting to permanently reduce our overhead cost base by 30% across the entire group.

“This will have an impact on potentially 8,000 roles globally that will either not be recruited or reduced.”

The impact of the coronavirus pandemic, is burning cash at a rate of 250 million euros ($271 million) a month, its CEO said on Wednesday.

Despite having reduced costs by 70% the company still has monthly costs of 230 million euros, Friedrich Joussen said in a call with journalists.

Earlier, the travel group Tui has published detailed plans for how it will run its hotels after coronavirus travel restrictions are lifted, including limits on popular self-service buffets and a ban on football tournaments.

The UK’s biggest tour operator, which specialises in package holidays, plans to introduce the measures across all its own-brand hotels and make them “available” to joint-venture and partner hotels.

The 10-point plan, which will be implemented when strict coronavirus restrictions end, include reducing all-you-can eat buffets “to a minimum”.

“Self-service offers such as buffets will be reduced to a minimum,” the company said. “Wherever possible, food and beverages will be served to guests by staff wearing protective masks.”

Guests at Tui’s 400 hotels will also find their range of entertainment and activities curtailed to maintain physical distancing.

“Only events, sports and entertainment involving a small number of participants and without close contact will be made available,” Tui’s new rules state. “Golf or tennis, for example, can take place, but football tournaments cannot.”

Other measures include a push to online check-ins and employees keeping a 1.5m distance from guests in public areas such as restaurants, gyms and corridors. Tables in restaurants, which will operate at a “significantly” reduced capacity with longer hours to spread guest usage, will “only be cleaned when guests have vacated them”.

The travel company TUI also announced that it is to cancel all its package holidays and flights until 18 June.

Previously the company had cancelled all its holidays and flights until 7 June due to ongoing public health crisis caused by the coronavirus pandemic.

Now the measure has been extended by a further 11 days until Thursday 11 June.

Customers that have booked flights or holidays before 18 June will be given a voucher that covers the value of the flight or holiday in full. This can be used to book another holiday or flight leaving at a later date.

 

Read more via Sky News/ The Guardian/ VRT News

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