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London City Airport to cut 35% of staff as flight numbers remain low

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London City Airport has opened consultation with its staff over making 239 redundancies. This represents 35% of its employees.

The airport is only operating flights to 17 destinations at present. Frequencies to those destinations are also, in general, lower than they were historically.

London City Airport to cut 35% of staff

As we covered here, London City has already suspended work on its new terminal. It has committed to completing construction on its new taxiway, stands, security area and baggage system, which is already well advanced.

Robert Sinclair, CEO of London City Airport, said in a statement:

“It is with huge regret that we are announcing this restructuring programme today and our thoughts are with all of our highly valued staff and their families.

London City Airport to cut 35% of staff

“The aviation sector is in the throes of the biggest downturn it has ever experienced as a result of the pandemic. We have held off looking at job losses for as long as possible, but sadly we are not immune from the devasting impact of this virus.

“Our focus in the coming weeks is to help all staff through this exceptionally difficult period. We are committed to playing our part in rebuilding a stronger local and national economy once the worst of the downturn passes and believe that the difficult decisions we are taking now will enable the airport to bounce back in a better shape when growth returns.”

Comments (16)

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  • marcw says:

    And this is only the beginning. Sadly and terrifying.

    • Novice says:

      What was terrifying was watching ‘Extinction: The Facts’ last night on BBC. David, the absolute Legend, brought me to tears and honestly I’m not one to cry.

      Having said that, my contribution to the planet is the decision that I will never have kids and will always offset my carbon footprint and donate only to reputed endangered species charities/funds.

      BTW, everyone should watch the documentary, truly one of the old man’s best works. All his work is exceptional but still.

  • roberto says:

    I note that the slot waiver has been extended into March 2021. That would have helped crystallize the decision.

  • Stu N says:

    Sad for everyone involved, but I see London City being particularly slow to recover, given heavy reliance on business travellers. Staff will be reluctant to travel, employers reluctant to let them and remote working and collaboration have come on leaps and bounds in the last six months. I just don’t foresee business travel happening on any meaningful scale any time soon.

  • BA-Flyer says:

    The last few destinations I looked at all cost at least £75 more to fly from LCY rather than SEN, LTN or even LHR. I’m currently looking at Vilnius; £90 from LCY or £16 from STN.
    Some of this may be out of their control, but it seems they are still trying to command a premium even with the slump in demand.

    • memesweeper says:

      … they are still trying to command a premium…

      The airlines set the ticket prices, not the airport. They do set the passenger handling charges, and these have historically been on the high side. The airlines have to fly smaller planes to/from LCY, which means rock-bottom prices will never happen as the B737s and A320s can’t land.

      • ChrisC says:

        Did dummy bookings for BA CE LHR and LCY to AMS returns. Same Dates next January

        PSC – LHR = £ 17.41 (BAs base fare £92)
        PSC – LCY = £ 37.33 (BAs base fare £ 90)

        • Nick says:

          If you think about the areas in which airports make money, LCY has few of them. No space for a big shopping complex, no car parking (and they’re banned from applying to build more), no proprietary HEx-style train service. Not to mention no opportunities for a volume-driven business as large aircraft can’t land there and expensive building (and maintenance) costs as it’s all over a dock. With that in mind, it’s a wonder the PSC isn’t even higher still.

  • babyg says:

    My BA LCY to FAO in October was cancelled today and with no LGW options its not great for us south of river.

    • Nick_C says:

      What’s wrong with EasyJet?

      • babyg says:

        BA have much better cancellation policies (till the end of the month at least) than easyjet, plus have status for lounge/seat etc, and BA planes seem less full, thou this is the 3rd LCY they have cancelled on me.. (currently i convert these to double miles)

  • Nigel Williams says:

    London City Airport is not needed post Covid. Reducing our carbon footprint and the relentless noise impact for thousands of hard-working residents living in the middle of this unwanted airport will be a positive first step for London. Luton, Stansted, Gatwick and Heathrow provide much better alternatives given the likely and probable 50% long-term drop in business travel. As an investor, I would be withdrawing from any related investments and funds.

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