Club Med sells Jet Tours to Thomas Cook
The Thomas Cook Group PLC and Club Méditerranée have now officially stated that ClubMed will sell the French tour operator Jet Tours at a price of around 70 million euros to the Thomas Cook Group PLC. With this purchase, the Thomas Cook Group PLC strengthens their business in France.
Following an Interview with the Secretary of the European Committee for Social Dialogue (CEDS):
1) Did the management of Club Méditerranée inform the European Committee for Social Dialogue (CEDS) of his choice to sell Jet Tours?
At the last meeting of the European Works Council of the Club Mediterranean (CEDS) on 3 June 2008, we questioned the central management on reports of an imminent sale of Jet Tours. Management publicly refused to comment on newspaper articles, but unofficially promised to the CEDS secretary to inform him as soon as the decision was taken. This was done on Saturday morning.
2) What are the economic stakes for the future of the Club Méditerranée?
Apparently the choice of Club Med is to focus on their core business, which is the holiday villages. And as the success of the model ‘upscale and multicultural’ was slower than anticipated, it still does not generate sufficient financial results, forcing the central management to sell activities as Jet Tours and Club Med gym to finance the renovation of the villages in the context of its policy of up scaling its tourism services.
3) What can be the social effects for employees of Club Méditerranée Group?
For employees of Jet Tours, in the context of article L122-12 of the Labour Code, the company Thomas Cook has to take over the continuity of their employment contracts, and as this company is already applying the collective agreement for travel agencies, the personnel should keep their social guarantees, but eventually the abolition of posts cannot be excluded. At Club Med Gym changes in the capital should, in the short term, have no effect on human resource management.