Gatwick on Wednesday announced plans for a major corporate restructuring to further reduce operating and personnel costs in light of the dramatic impact COVID-19 has had on passenger and air traffic. The proposed organizational redesign will reshape the company so that it is in the best position to respond quickly to future growth.
If anyone has any doubts about the devastating impact COVID-19 has had on the aviation and travel industry, Wednesday's news we shared with our employees about the proposed job loss is a stark reminder. We are in talks with the government to see what sector-specific support can be provided to the industry right now, as well as mechanisms that will give our passengers more certainty about where and when they can safely travel abroad. This support will not only help Gatwick, but also the wider regional economy that depends on the airport, ”said Stewart Wingate, Chief Executive Officer, Gatwick Airport.
The new proposals could result in the region's 600 positions being removed from across the company, which is about 24% of the current workforce. The company is now entering into a formal consultation process with employees. In August, usually one of the airport's busiest months, passenger numbers are more than 80% lower than when compared to the number of passengers that Gatwick saw that month in 2019. The company quickly took steps to protect the airport in March to preserve as many jobs as possible. As it could be by cutting costs, managing cash outflows and securing a £ 300 million bank loan.
“I would like to take this opportunity to thank all of our employees, those who worked tirelessly to keep Gatwick open during the pandemic and those who have had to stay on leave for their dedicated tenacity, professionalism and team spirit. We will continue to do everything we can to preserve as many jobs as possible, ”said Stewart Wingate, Chief Executive Officer, Gatwick Airport.
Current traffic and passenger volumes are such that Gatwick currently only operates from the North Terminal. Compared to this time last year, the airport is operating at around 20% of its capacity and therefore still has more than 75% of its staff on the UK government's job retention schedule, which expires in October.
'Gatwick will recover from this pandemic and we will come out of restructuring. We propose a fitter and stronger organization best placed to provide our passengers and our airlines with a modern and innovative airport, ready for growth, ”said Stewart Wingate, Chief Executive Officer, Gatwick Airport.
photo above: Gatwick media center
