Hotelplan UK announces office closure and potential job losses

Hotelplan UK today announced that it will reduce the size of the business and consider restructuring the teams to cope with the loss of business due to the COVID-19 crisis

The UK arm of the Hotelplan Group, which features specialist travel brands such as Inghams, Ski Total, Esprit Ski, Flexiski and Santa?s Lapland, based out of three locations in Mountain House, Godalming, Inntravel business based near York, and adventure travel business, Explore Worldwide based in Farnborough.

After a period of intensive discussions with their parent company Migros, the Swiss co-operative retailer, it became clear that the company needed to be re-shaped to continue operating and catering to reduced demand, as an after effect of COVID-19.

The UK business has been in decline since the end of the winter, as resort and border closures had shortened the skiing season by six weeks. In addition, none of the UK brands made any business through the summer programmes and the reopening of borders now, with cautiously phased-up flight schedules, would not be enough to sustain or revive the business, Hotelplan UK announced.

Each of the UK operations will be smaller and more focused towards short-term recovery plans, which includes closing the Godalming office, and having one office in the south, which will be the Nelson House in Farnborough, a building which Hotelplan owns and currently houses the Explore team.

A 45-day consultation process will begin on July 1 in the south office, about these proposed changes, which might amount to 27%  layoffs across all the UK brands. The authorities are considering a similar plan of action for their European divisions over the coming days.

Teams will continue to work from home until the Farnborough office can accommodate the total headcount, and a quick, fast and flexible approach to home-working is in place.

Paul Carter, CEO of Hotelplan UK said: ?We are now collectively living through the most harrowing crisis of our lives. Yet I have been both amazed and proud to see the very best of who we are during this period. We have strived to do the right thing on all our brands, whether it is about repatriating our guests and staff or ensuring that guests, whose holidays have been cancelled, are either re-booked for future trips or offered a cash refund where no rebooking is possible.?

?Due to COVID-19, we will endure heavy losses this year. Although we have done everything we can, to protect jobs for as long as possible, including a review of our brand portfolio, product range and office footprints, despite retaining the quality of the services we offer, it is now beyond our capability to sustain the business, despite the support of the UK job retention scheme,? he added.

Mr Carter further revealed, ?We have always believed that the passion our people share, have made us distinctive and losing any team member will cut us to the core. I would personally like to thank all the teams, both in the UK and overseas, for their unwavering dedication, hard work and commitment. I am also extremely grateful to all our suppliers, partners and industry friends who have shown us their support and loyalty throughout these challenging times. I have no doubt that we will get through this as we have notices a good number of guests transferring their bookings to next year and some new bookings for 2021.?