Tui staff told pay will be slashed by up to 50 per cent as travel giant faces ‘acute challenges’

All 10,000 Tui staff are told their pay will be slashed by up to 50 per cent as travel giant faces ‘acute challenges’ in coronavirus crisis

  • From April, Tui staff required to work will receive a 30% reduction in basic pay
  • Meanwhile, those working less than 50%, or not at all, will face 50% reduction
  • Travel giant has pledged to maintain a minimum wage of almost £17,100 in UK
  • The travel industry is facing ‘acute challenges’ amid the coronavirus pandemic
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All 10,000 Tui staff have been told their pay could be cut by up to 50 per cent in response to the coronavirus crisis.

The travel giant is facing ‘acute challenges’ amid the pandemic, but has pledged to maintain a minimum wage of almost £17,100.

The company, which has been forced to suspend package holidays and cruises, said it was introducing measures to ensure the future of its business is protected.

All 10,000 Tui staff have been told their pay could be cut by up to 50 per cent in response to the coronavirus crisis (pictured: file photo of Tui plane)

From April, staff required to work will receive a 30 percent reduction in basic pay and contracted hours, while those working less than 50 percent, or not at all, will receive a 50 percent reduction.

There will be no redundancies, other than already planned activity in retail and seasonal cabin crew who were recruited ready for the summer season, who are no longer required. 

Tui said the temporary changes will be difficult, but it pledged to maintain the minimum wage threshold of £17,098 in the UK.

The firm has already announced a company-wide recruitment freeze and a restriction on all non-essential staff travel and training.

In a letter to employees, Andrew Flintham, managing director of Tui UK and Ireland, said: ‘The acute challenges faced by the travel industry, and now across the wider global economy, mean TUI, like many other companies, has to take significant and immediate action to adapt and protect our business during this temporary pause on movements.’

He added: ‘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.

Andrew Flintham, pictured, managing director of Tui UK and Ireland, said the 'acute challenges' faced by the travel industry mean Tui has to take 'significant and immediate action'

Andrew Flintham, pictured, managing director of Tui UK and Ireland, said the ‘acute challenges’ faced by the travel industry mean Tui has to take ‘significant and immediate action’

‘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.’

Tui UK and Ireland has more than 10,000 employees and serves over six million customers each year.

As part of Tui Group, it is the business behind the Tui, First Choice, Marella Cruises and Crystal Ski Holidays brands, as well as Tui Lakes & Mountains, Tui Tours and Tui River Cruises.