UK NEWS

TRAVEL FIRM TO AXE 2,800 JOBS

Wednesday June 27,2007

By Tony Brooks

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THE German bosses of travel giants Thomas Cook yesterday confirmed plans to axe up to 2,800 jobs in the UK.

The news was broken to staff just a week after the company’s £2.5billion merger with rival MyTravel.

Gerry Doherty, general secretary of the Transport Salaried Staffs Association which represents the majority of those affected, said: “This confirms our worst fears that the UK will bear the brunt of the job losses.

“The German owners obviously feel it is easier to get rid of workers in the UK than anywhere else.

“This is terrible news and also bad news for consumers across the UK because it will mean less choice in the High Street for holiday bookings.”

The group said it was considering reducing its stores by 150 to 800.

It will keep Thomas Cook as its main retail brand with the Going Places brand retained in towns where they have more than one store.

Joint chief executive Manny Fontenla-Novoa said “as many as possible” of those affected would be offered the opportunity for “redeployment within the business.”

Worst hit will be the MyTravel HQ in Rochdale – closing with the loss of 1,000 jobs. Rochdale MP Paul Rowen described it as “crippling” and said he would meet with the firm, council leaders and unions.

He said: “I know hundreds of residents will be still coming to terms with this disastrous situation. It is devastating for them, for the local economy and for Rochdale.”

William Goddard, 32, who has worked at the HQ for seven years, said: “It’s been on the cards since they merged. We have been offered possible relocation but I’ve just bought a house and my daughter’s started nursery. It has taken us a long time to get on the property ladder so I don’t want to move.”

The group has a fleet of 97 aircraft and 32,000 staff worldwide. With 19million customers a year, it is the second largest travel group in Europe behind TUI AG.