The merger of Thomas Cook, The Co-operative Travel and Midlands Co-operative will see more than 9,000 staff transfer to a new employer.
Neither the Co-operative Group nor Thomas Cook would give any details.
But speaking at the end of July, former Thomas Cook chief executive Manny Fontenla-Novoa said Co-op staff would transfer to Thomas Cook.
He told Travel Weekly: “People will work for Thomas Cook. People will book with Thomas Cook or the Co-op.”
However, Travel Weekly understands all staff – including Thomas Cook retail employees – will move to a new employing entity majority-owned by Thomas Cook.
Up to 6,000 Thomas Cook staff, 2,900 at The Co-operative Travel and about 845 at Midlands Co-operative will transfer.
The transfer process will begin when the merger is completed – probably within six weeks.
It is unclear whether staff will go through a formal consultation, but that appears likely, meaning staff would move under Transfer of Undertakings (Protection of Employment) Regulations.
Shopworkers’ union Usdaw – which represents 1,000 Co-op staff – welcomed the merger despite the companies setting aside £13 million for redundancy payments.
Usdaw national officer Sharon Ainsworth said: “The joint venture provides the best opportunity to secure the long-term future of the Co-operative’s travel businesses and high street presence.”
Tony Wheeler, travel officer at the TSSA transport union that represents Thomas Cook staff, said: “We’ve been given some assurances Thomas Cook is not looking to close shops, but we presume that may be an issue. We would like to see Thomas Cook make a statement promising no compulsory redundancies.”
Ainsworth said: “Our priority remains safeguarding as many jobs as possible.”