Government expected to announce industry support package today
The Government is expected to announce an employment and wage subsidy package today, which could protect tens of thousands of jobs in the travel industry.
It comes as several companies in the travel industry have slashed staff wages and hours, including Hays Travel, TUI and Kuoni. There are reports that Kuoni has also made hundreds of redundancies already.
Talks went on into the night with business groups and union leaders, according to the BBC, with the government urged to help pay wages during the coronavirus pandemic.
Prime Minister Boris Johnson indicated Chancellor Rishi Sunak would reveal an extended support package for workers today.
The PM has urged struggling businesses to ‘stick by their employees, because we’re all going to need them’.
It has been suggested the UK should follow the lead of countries such as Denmark, where the government has promised to cover 75% of salaries at private companies for three months if they promise not to let staff go.
France, Germany, Spain and Italy have also put support wage packages in place for employees wage support in place.
So far, the UK government has announced a range of financial measures to help businesses and individuals, including changes to statutory sick pay, £330 billion in business loans and business rates holidays.
On Thursday, the Chancellor spoke to representatives of business groups and unions including the Federation of Small Businesses and the Trades Union Congress, where it was agreed more needed to be done to protect workers’ jobs.
"As well as providing emergency support to business, it is essential that money goes into workers’ pockets now. We must do whatever it takes to stop businesses going to the wall and workers being plunged into poverty," said Frances O’Grady, general secretary of the Trades Union Congress.
Linsey McNeill
Editor Linsey McNeill has been writing about travel for more than three decades. Bylines include The Times, Telegraph, Observer, Guardian and Which? plus the South China Morning Post. She also shares insider tips on thetraveljournalist.co.uk
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