Falling demand

Travel provider Expedia has to make savings, 1500 jobs gone

(Bild: expedia.at)

Expedia is planning to cut around 1500 jobs in the wake of the global decline in demand for travel. The job cuts are part of an "organizational and technological restructuring" and affect around nine percent of the total workforce.

The total pre-tax and cash cost of these restructuring measures is expected to be between 80 and 100 million dollars, the company said.

These measures follow the travel agent's warning earlier this month of a decline in revenue by 2024 due to the fall in airline ticket prices. In connection with this, Group CEO Peter Kern announced his resignation.

Several tour operators have already revised their forecasts for 2024 downwards, suggesting that growth in demand will be slower following the boom after the coronavirus pandemic and due to high inflation this year. The company's share price rose slightly in after-hours trading.