EMCC European Monitoring Centre on Change

BAA

Company/Organisation:
BAA

Geographic Location

Country: United Kingdom
Location of affected unit(s): Heathrow; Gatwick; Stansted; Edinburgh; Glasgow; Aberdeen; Southampton

Company

Sector: Transportation / storage
Transportation and storage
52.2 - Support activities for transportation
Number Employed: 12471
Group: Ferrovial

Employment Effects

Announcement Date: 30-08-2007
Planned Job Reductions min: 2000
Planned Job Reductions max: 2000
Type of Restructuring: Internal restructuring

Additional Information

BAA, a firm that operates airports in the UK, is to cut up to 2,000 jobs. The firm told The Times, a British newspaper, that cuts would be made at most departments and that the firm was conducting a review of costs at each of its seven locations locations in the UK. The firm owns Heathrow, Gatwick, Stansted, Edinburgh, Glasgow, Aberdeen and Southampton airports. It was also reported by The Times that BAA were considering selling one of its sites, and that all areas of operations, with the exception of security, faced redundancies. A BAA spokesman stated: 'This is a simplification exercise aimed at support staff much more than frontline staff. It's not simply about costs. It's about building a much leaner and more efficient business.' BAA has a 60% market share of all UK passenger flights, including a 90% share in the south of England. The firm, which was last year acquired by the Spanish group Ferrovial, has also been the subject of criticism in recent months. London Major Ken Livingstone, senior business figures and flight operator British Airways have all criticized the manner in which the firm runs its operations. BAA is also currently being investigated by the UK Competition Commission over whether or not the firm engages in a monopoly of its market. As of August 2007, information on when the job losses will be implemented is unavailable.