Cut-throat airport competition forces Go Ahead to exit
aviation, claims Unite
3 December 2009
The increasingly cut-throat nature of ground-handling contracts
has forced the Go Ahead Group PLC to dispose of its airport
services company, Unite, the biggest union in aviation, claimed
today (Thursday). The company announced to the City this morning
that it is to dispose of its air servicing company, Aviance,
sending a wave of uncertainty through the UK airport sector.
Unite fears that the Aviance, which was the UK’s last major
ground handling operator, could no longer withstand pressure to cut
costs, including employees’ terms and conditions of employment, in
order to win contracts from powerful airlines.
Go Ahead's decision to sell must now persuade Government and the
regulators that competition in airport services is not working for
either businesses, passengers or workers, the union says.
Steve Turner, Unite national officer for aviation, said:
“Deregulation at our airports has claimed another victim today as
Go Ahead decides to cut its losses, leaving our members uncertain
about their futures.
“But the near collapse of the UK’s last major ground handling
company should send a clear signal to airport operators, Government
and UK regulators that they must look very carefully at the impact
deregulation is having on essential aviation services, such as
ground handling. The ‘race to the bottom’ is undermining not just
pay and conditions for workers but training, investment, safety
standards, and the stable provision of quality services.
“UK ground operations and UK workers are certainly not
benefitting from this experiment in the unfettered free
market.”
While it will maintain its operations at Heathrow Terminal 1,
where it handles BMI and Lufthansa, as well as its Jersey
operation, Go Ahead will dispose of all other ground operations.
Aviance pulled out of Gatwick last year, again citing the
unworkable costs of operating there.
The Group's exit from airport services means that other
operators are expected to take up their contracts, including
Servisair at Luton, Birmingham, Manchester, Edinburgh, Glasgow,
Belfast, while at Heathrow Terminals 3 and 4, the ground handling
subsidiary of Emirates is expected to emerge as the provider.
Unite is moving quickly to ensure that it has urgent talks with
all companies concerned following today’s news.
ENDS
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