Transport for London to furlough around 7,000 employees

Published by Scott Challinor on April 24th 2020, 12:12pm

Around 7,000 members of staff at Transport for London [TfL] will be furloughed under the government’s Job Retention Scheme.

The decision comes as TfL’s revenue has taken a major hit during the Covid-19 pandemic.

Use of public transport in the capital has significantly declined since the UK lockdown came into force on March 23. The rate of daily journeys via London Underground has fallen by 95 per cent, while bus journeys have declined by 85 per cent. A limited transport service has also been put in place to enable key workers to make “essential” journeys.

Mike Brown, London’s transport commissioner, revealed that TfL’s transport fare revenue has fallen by 90 per cent.

Mayor of London, Sadiq Khan, has said that transport “will not immediately return to normal” once the government begins to ease lockdown measures, adding that he wanted to be “honest and upfront” with the public about the reality of the situation.

Khan said: "Covid-19 has caused massive financial challenges for TfL and every transport provider across the UK.

"As the only transport authority of any major city in western Europe which doesn't receive a grant for day-to-day operations, the challenge for TfL is very acute."

The furloughing, which will affect around a quarter of TfL’s 28,000-strong workforce, will commence on Monday and will span three weeks, with TfL pledging to “pay the remainder of salaries of all furloughed employees and continue to pay pension contributions, to ensure people are supported".

The Department for Transport said prior to the announcement that it had been holding “regular discussions” with the Mayor of London and London’s transport authority and that such talks would continue.

According to Khan, TfL will maintain contact with the government and trade unions about putting staff onto the furlough scheme going forward.

Khan said: "TfL is urgently working through how it can get Londoners to and from work while social distancing rules remain in place, as is widely expected to be the case.”

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Authored By

Scott Challinor
Business Editor
April 24th 2020, 12:12pm

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