TUI Group plans to restructure airline operations
Hundreds of jobs are expected to be lost, mainly in Germany, if plans proceed at tour operator TUI Group to restructure its airline operations.
TUI says it wants to better coordinate its airline operations, including TUIfly, Jetairfly and Thomson Airways, as it faces competition from low-cost carriers like easyJet, Ryanair, Norwegian and Vueling. The plan is to use UK-based Thomson Airways as a base for the combined operations, with admin and some maintenance to be centred in the UK, news agency Reuters reports.
Restructuring will save more than €100 million and may cut up to 500 jobs out of more than 2,000 at the TUIfly base in Hanover. That could prompt unions to organise strikes.
TUI Group was created last year in a merger between London-listed TUI Travel and majority owner TUI. Last month it was reported that four of the group’s senior directors – chief executive Peter Long, deputy chief executive Johan Lundgren, chief financial officer William Waggott and executive director Volker Bottcher – shared £28.8 million (€38.5 million) in bonuses, up 22% from the previous year.
[image courtesy TUIfly]