Jersey jobs at risk as Swissport plans over 4,000 cuts

Thursday 25 June 2020

Jersey baggage handling jobs are at risk after it emerged that Swissport is planning to cut more than 4,000 from its workforce.

The cuts represent around half of the airport giant’s UK staff.

UK CEO Jason Holt announced the news yesterday morning, explaining that it was sparked by the pandemic.

“Swissport is an essential part of the country’s supply chain and pivotal to the UK and Ireland’s aviation industry. But the covid-19 outbreak has hit us hard, beginning with the collapse of Flybe back in March.

"At its core, our business relies on a high volume of flights taking place. When aircraft aren’t flying, our source of revenue disappears,” he said. “As of May, revenue has dropped by around 75% across our business.”

Pictured: Swissport's UK CEO said the difficulties for the business began with the collapse of Flybe.

While he noted that the firm had benefited from UK government support schemes, Mr Holt said the “unfortunate reality” was that “there simply aren’t enough aircraft flying for our business to continue running as it did before covid-19; and there won’t be for some time to come”. 

He added: “I want to stress that this isn’t in any way a reflection on the dedication of our teams and the quality of their work. The situation we’re facing is one shared by the whole industry. These are very challenging existential times.

“This is a hard decision to make, but immeasurably harder for our colleagues to hear. But it’s an essential decision if we are to keep operating and to protect as many livelihoods as possible in the long run.” 

It remains unclear which of the more than 20 airport locations Swissport works in will be hardest hit by the decision. 

When Express asked if Jersey jobs would be lost, Swissport declined to comment.

Pictured: Swissport would not state if its Jersey operation will be hit by the job cuts.

However, there has been speculation on social media that island workers may be hit.

ITV Business and Economics Editor Joel Hills tweeted yesterday morning: “It would appear that Swissport is proposing to withdraw from Aberdeen and Southampton airports and is “reviewing the viability” of its operations at Bristol, Liverpool, Glasgow, Jersey and Gatwick.” 

In a statement released during the evening, Ports of Jersey's CEO Matt Thomas did not comment on whether Swissport's Jersey operations would be affected in future.

However, he confirmed that Swissport is currently still operating at Jersey Airport, adding that Ports of Jersey has back-up plans in place.

It would appear that Swissport is proposing to withdraw from Aberdeen and Southampton airports and is “reviewing the viability” of its operations at Bristol, Liverpool, Glasgow, Jersey and Gatwick.

— Joel Hills (@ITVJoel) June 24, 2020

“We recognise the challenges facing Swissport and its network of airports across Europe, including its Jersey base, in the face of the covid-19 pandemic. Ports of Jersey continues to monitor the position carefully and we are in close and regular contact with the company’s head office," Mr Thomas said.

He continued: "We would like to reassure passengers that Swissport continues to operate at Jersey Airport, handling the Blue Islands “lifeline” air services that are operating on behalf of Government of Jersey.

"We will provide our support to the company to ensure that it can continue a successful operation in the Island, whilst ensuring contingency plans are in place to protect the resilience of the airport operations."

Although the locations remain unclear, news of the job cuts was met with disappointment by unions.

Nadine Houghton, National Officer for the GMB, which represents more than 600,000 people across all industrial sectors, described it as “devastating news”.

"With Swissport now considering job cuts on this scale we have deep concerns about the viability of many of our regional airports and the benefits for regional connectivity that they bring.” 

Pictured: Ports of Jersey CEO Matt Thomas said that Jersey Airport has contingency plans.

Unite National Officer Oliver Richardson called for the UK government to step in to help.

“We can’t wait any longer, the UK government needs to urgently intervene with a bespoke financial package and an extension of the 80% furlough scheme for the aviation industry. 

“Speed is of the essence if the government is to save thousands of aviation jobs and livelihoods. It’s not too late.” 

If Swissport does end up exiting the island, OceanAir Handling says it is ready to step up and fill any void.

It has been providing cargo handling services at Jersey Airport for 30 years, including dealing with the Royal Mail plane each day.

Pictured: OceanAir Handling - which deals with all of the cargo coming into and leaving the island, including deliveries carried on the daily Royal Mail plane - has offered to take on Swissport's Jersey staff if they lose their jobs.

Director Christopher Bee said his firm felt "desperately sorry for all those who find themselves in an uncertain position", adding: “We are here and ready to support operations if needed.

"We would, of course, have to expand our staff base if Swissport are forced to leave the Island and we would look to employ as many of Swissport’s staff as we could.

"They are well trained and skilled operators, the situation they find themselves in is devastating, and we are here to help, if we can.”