Toronto Airport cuts workforce 27% with traffic at 1996 levels

The organization that runs Canada’s busiest airport will slash 27% of jobs after the Covid-19 pandemic decimated air travel, with no end in sight for Canada-U.S. border restrictions.

The Greater Toronto Airports Authority, which manages the Lester B. Pearson International Airport, announced the cutbacks Tuesday and said it will let go of 300 staff and eliminate 200 unfilled positions.

GTAA said passenger numbers at Pearson airport are now at 1996 levels. More than 50 million people passed through the Canadian hub in 2019.

The restructuring “was a difficult decision but necessary decision, made with great care and deliberation by our leadership team and Board of Directors,” GTAA President and Chief Executive Officer Deborah Flint said in a statement.

The shakeup included the departure of Chief Strategy Officer Kim Stangeby. GTAA spokesperson Tori Gass declined to give details about which areas of the company were most affected by the cuts.

The Canadian government is set to announce that the border will remain closed to most non-essential travel until at least Aug. 21, multiple media outlets including the Canadian Broadcasting Corp. reported. The official order is expected to come later this week.

Despite calls from some Canadian business leaders and political figures to relax restrictions, strict border rules have been place since March 21. Calin Rovinescu, CEO of Air Canada, said last month on a webcast with Aviation Week that the limits on air travel were “disproportionate” as many areas began to ease restrictions.

Prime Minister Justin Trudeau said Monday that “the situation continues to be complex in the United States” with the virus, but added the priority is still to keep Canadians safe from the outbreak.