TUI cuts pay with 50%

Non-retail Tui staff are to receive up to a 50% reduction in pay as the travel giant looks to mitigate the impact of the coronavirus pandemic.

Staff required to work will receive a 30% reduction in basic pay and contracted hours.

Staff required to work less than 50% of their hours, or not at all, will receive a 50% reduction in basic pay and contracted hours.

The new measures will come into force on April 1 and include all members of the UK & Ireland board of directors.

Retail and contact centre advisors are unaffected “for as long it is safe to operate our stores”, the company said.

The new measures will be reviewed on a monthly basis.

Tui said there would be no redundancies “other than already planned activity in retail and seasonal cabin crew who were recruited ready for the summer season who are unfortunately no longer required”.

The new measures follow those announced on March 9 which included a company-wide recruitment freeze and restrictions on all non-essential staff travel and training.

Earlier this week the travel group announced it was suspending “the vast majority of all travel operations” until further notice due to the coronavirus outbreak.

Managing director Tui UK and Ireland Andrew Flintham, said: “The travel industry is facing unprecedented pressure. We will continue to put the customer at the heart of what we do, and when they can holiday with us again we want to be in the best position to deliver the wide range of destinations and experiences we do today. It is therefore imperative that we make these difficult cost decisions and also look after our colleagues during such unprecedented uncertainty.

Our airline and overseas teams continue to work around the clock to get people home from around the globe, even supporting customers who were not due to fly with us. Our customer teams have been helping in retail stores, on social media, through our contact centres, and employees from around the business have been welcoming home arrivals at airports.

We are a fantastic business and we look forward to taking people on holiday again soon.”