Flight Centre to close 91 more stores

Flight Centre sold its St Kilda Road headquarters in May to Shakespeare Property Group for $62.15 million.

The COVID-19 led collapse of the travel industry has claimed another 91 Flight Centre stores.

The ASX-listed group announced in April it would shut 330 agencies resulting in the loss of hundreds of jobs despite reshuffling.

Shortly after, it sold its St Kilda Road headquarters for $62.15 million and undertook a $700m capital raising.

Following today’s news, 4000 staff will be unemployed because of the pandemic.

Prior to COVID-19, Flight Centre operated out of 740 outlets and employed 10,000 people.

Flight Centre’s other brands include FCM Travel Solutions, GOGO Vacations, Stage and Screen and Student Universe.

Last week Qantas announced it was undertaking a major review of its accommodation and considering moving functions spread nationally to one location (story continues below).

In Melbourne this could mean the quitting of the Jetstar headquarters – currently based at Collingwood.

We are incredibly sorry: Flight Centre

“Without question, the past six months have been the most challenging period in our almost 40 years in business,” Flight Centre managing director James Kavanagh said in a statement.

“Never before had we imagined – let alone faced – a scenario whereby all discretionary travel would be halted for a prolonged period.

“We are incredibly sorry that some of our great people are not able to continue on their Flight Centre journey with us at this time but we are taking steps to preserve as many roles as possible for the future, while building a smaller but stronger overall network”.

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Marc Pallisco

A former property analyst and print journalist, Marc is the publisher of realestatesource.com.au.