Guernsey airline Aurigny may cut 30 jobs in Jersey
Guernsey's state-owned airline Aurigny could make 30 ground staff redundant at Jersey airport.
The company, which has a sharing agreement with Blue Islands, blamed its partner airline for cutting up to five daily services from Jersey.
Aurigny chief executive Mark Darby said it had recently expanded ground operations to accommodate Blue Islands.
A Blue Islands spokesman said he was surprised by the news and has been unable to contact Aurigny.
Mr Darby said: "It is deeply regrettable that we have had to take this course of action especially at this time of year, but the impact on Aurigny of Blue Islands' recent decisions is substantial.
"The withdrawal of up to four or five flights per day that required our ground handling services renders our operation in Jersey economically unviable."
Employees were briefed on Friday and will now enter a consultation period.
Mr Darby said the news will have no effect on Aurigny's deal with Blue Islands.
Blue Islands recently scrapped direct flights from Jersey to Southampton, Amsterdam, Paris and Zurich.
Mr Darby also suggested flights to Geneva were threatened although Blue Islands has previously stated the Swiss service will not be cut.
In March, Jersey ground staff threatened to strike when Aurigny took over baggage handling work from Blue Islands as part of the codeshare agreement.
The codeshare meant Blue Islands operated the flights while Aurigny took over ground handling.