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Cook Co-op: Job losses to be in the ‘hundreds’

Thomas Cook chief executive Manny Fontenla-Novoa says hundreds rather than thousands of jobs will be lost in the merger with The Co-operative Travel.


However, the two companies admit that redundancy costs will amount to £13 million, suggesting that job losses will be at the higher end of the calculation.


The estimated integration costs also show £7 million towards property closures, with other integration costs of £10 million.


The two companies say they will save £8 million through store rationalisation and £17 million through reductions in back office support functions and locations.


The joint business is expected to be run from Cook’s Peterborough headquarters. Currently Thomas Cook employs 6,000 UK staff and The Co-operative Travel 2,900.


The companies admit that there will be some store overlap and branch closures. This is particularly true in the north west and north east. Thomas Cook-owned Going Places and Sunset are to be rebranded at The Co-operative Travel.


More details are due to emerge on December 1 with a Thomas Cook update to the Stock Exchange.

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