Tui to 'sell or close' French retail estate

A restructuring of Tui France in the wake of the Covid-19 pandemic will see the agency network “sold or closed”.

Tui said: “The project foresees a reduction of 583 jobs, in the scenario of the closing of all own retail shops, which is approximately 60% of the current Tui France staff base.”

“The changes are now being discussed with the relevant committees and employee representatives in France.”

Tui said the cost savings “should then enable Tui France to break even from 2021 onwards”. Tui France will in future focus on “high margin business with a few core brands” using a “newly tailored produce range”, it said. Tui Group plans to cut costs globally by 30%.

It added: “Tui France was already loss-making before the pandemic. In a structurally challenging market with a high cost structure and low margins, the company had been making losses in recent years.

“In the wake of the corona pandemic, the situation for Tui France has again deteriorated significantly. A far-reaching package of measures is now needed to create a perspective for the company within the group.”