Page last updated at 14:18 GMT, Thursday, 3 September 2009 15:18 UK

Jobs at risk in Easyjet cutbacks

Easyjet plane
Easyjet has had a long-running dispute with Luton airport

Budget airline Easyjet has said jobs are at risk as it plans to cut flights out of Luton airport.

The airline said it would consult on a reduction of the number of flight crews at its bases in Belfast, Bristol, Newcastle and London Stansted.

The airline also plans to close its base at East Midlands airport.

The decision comes amid a row over landing charges at Luton. Easyjet said it would look to relocate the flights to more "profitable bases" elsewhere.

Jobs at risk

Luton is one of Easyjet's largest bases, flying 4.7 million passengers a year.

It said that costs at Luton had risen by 25% over the past three years and the base no longer made economic sense.

Luton should be a growth airport, and that's why it's so sad
Andy Harrison, Easyjet chief executive

It plans to cut flights by up to 20% at Luton, and relocate them to more profitable bases in continental Europe.

"I am deeply disappointed that [the Spanish operator of Luton] Abertis and Luton Borough Council have not taken a more far-sighted approach which would have protected jobs at Luton," Easyjet said.

Easyjet employs 530 pilots and cabin crew at Luton.

The airline's chief executive, Andy Harrison, told the BBC that a "proportion" of those staff would be affected.

"Luton should be a growth airport, and that's why it's so sad," Mr Harrison said. "We're left with no choice but to reallocate the flights to the most profitable parts of Europe."

Easjyet says passengers flying in and out of Luton "will be advised" if their flights are affected.

Long-term future

At its base in the East Midlands, Easyjet currently employs 120 staff. The company has 39 departing flights a week during winter.

"In regard to East Midlands, we cannot see a growing long-term future and we have decided to move our assets to markets with better long-term potential," the airline said.

Easyjet also partly blamed the upcoming rise in passenger duty for its decision to leave the airport.

Air passenger duty on short-haul flights will increase to £11 in November, from £10 currently. It said the duty was "particularly damaging to regional airports".

The consultation on crew numbers at Belfast, Bristol, Newcastle and Stansted would affect about 40 staff, the airline said.

It said flights to and from East Midlands up to the end of the year, including the Christmas and New Year period, would be unaffected by the closure.

"Although two destinations could be lost, we've already had very positive indications from other low cost airlines that they will fill this small gap, including Bmibaby," East Midlands Airport's managing director Penny Coates said.



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