Fears for tour companies as 640 lose jobs

MORE than 600 staff in Scotland will lose their jobs due to the collapse of Thomas Cook, ministers said yesterday – as they warned of the impact on other firms.

The travel giant had 63 shops in Scotland with 390 employees, and another 250 staff at Glasgow Airport, Transport Secretary Michael Matheson told Holyrood.

But he also raised concerns about how the collapse will affect firms that provide tours alongside Thomas Cook holiday packages, or offer call centre facilities.

Mr Matheson said: ‘There are Scottish businesses in the Thomas Cook supply chain that will be affected. This will be a very worrying time for employees.’

He said the Scottish Government was committed to helping Thomas Cook workers through the Partnership for Continuing Employment (PACE) scheme.

The initiative – which includes trade unions and the Department for Work and Pensions, and is led by Skills Development Scotland – aims to help councils react effectively to potential redundancies.

Mr Matheson confirmed a hotline had been set up for businesses which had worked in partnership with Thomas Cook.

Nationalist MSP Sandra White highlighted the example of Caledonian Travel, which provides coach tours to Thomas Cook customers.

She said: ‘It is not just about Thomas Cook; there are other agencies. There will be a wider effect on the economy... the staff of agencies may lose their jobs and agencies may fall. Will those people be able to get the same help that the Cabinet Secretary has recommended for the staff of Thomas Cook?’

Mr Matheson replied: ‘Our agencies, through Scottish Enterprise, have set up a helpline to provide a point of contact for companies in the supply chain that may be affected by the Thomas Cook situation.

‘It has a team of specialists who can provide financial advice and wider support, including access to PACE arrangements if that is necessary and appropriate.’