Southern Cross Travel Insurance will halve its number of full time employees because of the shutdown of international travel due to Covid-19.
The proposed restructure will see 90 full time roles reduced to 45.
The company said in a statement today that proposed changes relate only to Southern Cross Travel Insurance and not any of the other Southern Cross businesses.
Southern Cross Travel Insurance CEO Chris White said he had spoken to staff about the need to reduce costs.
“Like many others in the travel sector, we have been severely impacted by the pandemic, and as a result we are looking to reduce costs and scale down our workforce for the immediate future.
“A strong return to international travel, our core business, is unlikely in the medium term and as difficult as it is, we have no choice but to take steps to ensure the long-term sustainability of the business.
“Our focus now is on reshaping the business, so we are ready to scale up again when international travel is back to full strength.”
At the beginning of the pandemic when international borders were first closed, Southern Cross Travel Insurance reduced its workforce from 116 to 90 by cutting temporary staff and contractors.
The company’s profits are paid to the Southern Cross charitable trust in the form of a dividend to be used to benefit the community.