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Sunday 03 May 2026 11:07 am

Airport jobs at risk as Iran conflict hits flights

By: Saskia Koopman

Tech Reporter

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The UK arm of VistaJet has fallen into the red.
The UK is particularly exposed to fuel shocks.

Thousands of UK airport jobs are at risk as airlines cut schedules amid disruption linked to the Iran conflict, as the government is urged to support to protect workers.

Ground handling firms and unions have warned ministers that the impact on employment could rival, or even exceed, the pandemic, as reduced flight volumes threaten a sector that relies entirely on planes taking off.

According to The Sunday Times, companies responsible for baggage handling, check-in and aircraft turnaround – employing around 30,000 people across the UK – are preparing for potential job losses as revenues come under pressure.

Industry body Aviation Services UK has written to the government warning of a “fundamental structural vulnerability” in the sector, where firms are typically only paid when flights operate.

Chief executive David Leighton said: “When flights do not operate, revenues cease, yet operational costs – particularly employment costs – continue unabated. This is not financially sustainable.”

Union leaders have urged ministers to consider reintroducing a furlough-style scheme to avoid a repeat of pandemic-era job losses, warning that rebuilding the workforce later could prove difficult.

Matthew Roberts, national officer at the GMB union, said: “Without help, the uncertainty of the Iran conflict has the potential to be worse than Covid for the aviation sector.”

Fuel fears and flight cuts

The warnings come as ministers prepare the public for potential disruption to summer travel, with concerns mounting over jet fuel supply linked to instability in the Middle East.

Transport secretary Heidi Alexander has said there are “no immediate supply issues”, but confirmed the government is preparing contingency plans.

Industry data suggests the UK is particularly exposed to fuel shocks.

Read more

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Research by Allianz Trade found Britain is among Europe’s most vulnerable markets due to its reliance on imported jet fuel, leaving it sensitive to disruptions such as the blockade of the Strait of Hormuz.

Airlines have already begun scaling back: Germany’s Lufthansa has cut around 20,000 flights over the summer, while carriers including Virgin Atlantic and British Airways have signalled potential fare increases to offset rising costs.

Irish airline Aer Lingus has also cancelled hundreds of flights across its network, including routes to major UK airports such as Heathrow, Manchester and Edinburgh.

Jet fuel prices have surged in recent months, rising sharply as supply routes came under pressure.

The International Energy Agency has warned Europe could face shortages within weeks if disruption continues.

For ground handling firms, the risk is immediate. Reduced flight schedules mean less work, but fixed staffing costs remain, creating a squeeze that could force layoffs just as the industry enters its busiest season.

Leighton warned that cutting jobs now could trigger further disruption later, noting that strict security vetting requirements make rehiring slow and complex.

Staff shortages after Covid led to widespread airport chaos in 2022, with long queues and cancelled flights as companies struggled to rebuild their workforce.

A government spokesperson said the “vast majority of flights are operating as normal” and that ministers will continue working with airlines to limit disruption.

Read more

Iran war woes cause jump in London-listed profit warnings

GettyImages 2211256637 showing a significant event or figure relevant to recent news updates in the business sector

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