Amid covid19 pandemic the world’s biggest tourism group TUI stated that it has planned to cut down 8,000 jobs in a bid to curtail costs as the industry struggles to stay afloat with travel restrictions.
TUI has stated -“We are targeting to permanently reduce our overhead cost base by 30 percent across the entire Group, This will have an impact on potentially 8,000 roles globally that will either not be recruited or reduced.”
As reported in international media Highlighting the impact of the crisis, the group reported a net loss of 763.6 million euros for its second quarter to March in order to halt transmission of the coronavirus, many countries have slammed borders shut and banned tourism, leaving planes grounded and cruise ships idle at ports while hotels are left empty. To survive the crisis, TUI had sought a lifeline from the government, signing a deal in early April for a 1.8 billion euros state-guaranteed loan to keep it afloat. It is one of the biggest examples of German companies making use of a huge government rescue package aimed at cushioning the impact of the pandemic on Europe’s top economy. The German government has promised “unlimited” credit to help companies weather the coronavirus storm as per reports.