Edmonton Airports reduces workforce by 40 per cent as COVID-19 batters air industry

Up to 100 workers at the Edmonton International Airport are expected to lose their jobs this summer due to impacts of COVID-19 on air travel.

"The COVID-19 pandemic continues to have a crippling effect on airports and the aviation industry, and as a result Edmonton Airports has been forced to reduce our workforce by up to 40 per cent," Edmonton Airports said in a news release Wednesday. 

The job losses are expected to begin in July, affecting union and non-union positions.

Edmonton Airports said it had already taken cost-cutting measures before moving to reduce its workforce. It had offered employees voluntary unpaid leave and voluntary early retirement incentives, cut capital spending by 75 per cent and reduced non-labour costs by $50 million.

However, airport revenues have declined by 90 per cent in the last two months, the release said.

"This is a difficult and sad day for Edmonton Airports, and we regret having to take these steps," president and CEO Tom Ruth said in the release. "Our employees are the foundation of our organization and our contribution to our communities, and we feel this loss profoundly."

Last year, EIA moved 8.15 million passengers. In 2020, it forecasts moving 2.7 million passengers.

"Passenger traffic has reduced by approximately 95 per cent and the airport is not expected to return to 2019 passenger traffic levels until at least three years from now," the release said.

"While there will now be a smaller operating structure going forward, we will redouble our efforts to fulfil our mission of creating economic prosperity for our region during the eventual recovery phase from COVID-19."