Flybe will reduce the number of routes it operates after announcing 500 jobs are to be cut across the business - the second set of mass redundancies this year.
The Exeter-based airline unveiled its first major cost reduction plan in January, which included the loss of around 300 staff.
Flybe today (November 11) announced a pre-tax profit of £13.8 million for the six months to September 30, 2013 – compared to a loss of £1.6 million in the same period in 2012. Revenue rose by 3 per cent to £351.1 million for the six months.
Despite recording this profit, the carrier announced another round of redundancies that it says will save the business £7 million this year and £26 million in 2014.
Chief executive Saad Hammad, who joined Flybe in August, admitted that the latest job cuts will mean the airline will reduce the number of routes it operates. Flybe will stop operating all flights from Gatwick in March 2014 after selling them to Easyjet for £20 million.
"Unfortunately there is a proposal for further redundancies. We will consult with the trade unions and employees to ensure that this is done fairly and delivers the right outcome for the business,” added Hammad.
"We will make Flybe the best local airline in Europe. This is ambitious, but achievable provided that we can transform our cost base and efficiency now."
Pilot's trade union Balpa said it was "shocked" by the decision.
General secretary Jim McAuslan said: “This is a distressing day for the dedicated pilots who loyally serve Flybe and its passengers day-in day-out and we will be supporting them throughout this difficult redundancy process.
“Pilots are working with Flybe to secure the future of the airline, which is vital to connecting the country and driving growth and prosperity outside of London.”
Flybe passenger numbers increased by 5.6 per cent to 4.3 million in the six months to the end of September.
flybe.com