Heathrow to furlough senior executives and plans more job losses

HEATHROW plans to furlough its entire senior management team except its chief executive in the latest sign that an imminent recovery for the pandemic-hit aviation industry is unlikely.

The UK’S biggest airport also plans more job losses under voluntary redundancy schemes, according to emails sent by Heathrow’s executives yesterday that Sky News first reported. Staff must express interest by next Thursday.

All Heathrow management other than John Holland-kaye, its chief executive, face being furloughed for at least four weeks in total between the beginning of December and the end of March, when the Government’s wage subsidy scheme is due to end. “Reduced workload in some teams will mean that some colleagues will also continue to be asked to take longer periods on furlough,” Paula Stannett, chief people officer, told employees in an email.

A Heathrow spokesman said Covid continued to have a devastating impact on its business. “With a second lockdown grounding travel ... we have no choice but to implement further costsaving measures. We’re already losing over £5m a day and, regrettably, we must now take further action to close the gap so that Heathrow can continue to provide employment to tens of thousands of people after the pandemic.”

Heathrow – whose owners include Spain’s Ferrovial, the Qatar wealth fund and China Investment Corporation – reported a £1.1bn pre-tax loss for the first half of the year, as surging infection cases and strict lockdowns curtailed global travel.

Passenger numbers fell 82pc in October, compared to last year, while cargo flights are less than half normal levels. Britain’s second lockdown has dampened any hope of a recovery this year.

Meanwhile, the sector has been calling on the Government to implement a virus testing regime that could reduce the time of quarantine and boost demand for air travel.

Workers at Heathrow – including security, baggage staff and engineers – are due to strike across four days next month, following unresolved disputes between the Unite union and the airport over reduced salaries and pension contributions.