Gatwick downsizes operations to protect its business
Gatwick Airport has taken action to help protect the business against the impact of COVID-19.
It is closing the airport to flights between midnight and 05.30 from Tuesday, except for emergency landings, and is also closing two of the airport’s six piers due to fewer passengers.
Around 200 staff employed on temporary fixed-term contracts and contractors have lost their jobs.
CEO Stewart Wingate and his executive team are taking a 20% salary cut and waiving any bonus for the current financial year.
"We are consulting with employees on further measures to reduce near term operating costs by exploring the potential to introduce options for unpaid leave or temporary salary reductions for staff," said the airport.
It warned further action is likely to be announced in coming days to reduce the airport’s ‘operational footprint’ in response to this ‘very serious, ongoing situation’.
"The spread of COVID-19 has had an unprecedented impact on the global aviation industry with our airline partners – including easyJet, British Airways, Norwegian Airlines, Virgin Atlantic and TUI – reporting significantly reduced levels of traffic and substantial cuts in their capacity over the next two months," it said.
"As such, Gatwick Airport has taken necessary and appropriate steps to safeguard the financial resilience of the business – and prepare it for a quick recovery – by significantly reducing costs."
The airport is also deferring spending on its investment programme for the foreseeable future.
Along with other UK airports, Gatwick has asked Government to ensure that the needs of UK airports are an immediate priority of the Chancellor’s new Economic and Business Response Committee.
Wingate said: "Gatwick is a resilient business, but the world has changed dramatically in recent weeks and we have been forced to take rapid, decisive action to ensure that the airport is in a strong position to recover from a significant fall in passenger numbers.
"We must all play our part in helping the airport recover and both myself and our Executive Board will take a significant pay cut to help reduce costs. We also very much regret having to make this difficult decision to reduce our staff numbers and I would like to thank everyone for the contribution they made to the business.
"Significantly reduced passenger numbers are likely to be sustained, at least in the short to medium term, and I need to prepare people for the news that other serious measures are likely. We also strongly urge the Government to provide support in order to protect the business and the contribution it makes to the region and wider economy."
Bev
Editor in chief Bev Fearis has been a travel journalist for 25 years. She started her career at Travel Weekly, where she became deputy news editor, before joining Business Traveller as deputy editor and launching the magazine’s website. She has also written travel features, news and expert comment for the Guardian, Observer, Times, Telegraph, Boundless and other consumer titles and was named one of the top 50 UK travel journalists by the Press Gazette.
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