Burnaby-headquartered B.C. Automobile Association will close its storefront travel operations by January 2010.
BCAA will close its travel agencies by January 15 and cut 157 full-time and part-time jobs, 124 in the association's sales centre network and 33 at its head office.
It said it will no longer accept new travel bookings after November 28, although all existing travel bookings will be fulfilled and that sufficient staff will remain to meet customer needs through to completion of their travel plans.
The company plans to continue offering travel services by phone and online.
The steady decline of travel agency commissions due to structural changes in the travel industry has made it increasingly difficult for the BCAA to make a profit over the past few years.
Bill Bullis, BCAA's president and CEO said, "The emergence of the Internet has enabled suppliers to cut distribution costs by selling directly to customers and increased the comfort of consumers to do their own trip-planning and booking. Travel revenues have been steadily declining and BCAA has been unable to operate travel profitably for several years."
He cited travel industry studies that suggest between 64% and 84% of total travel bookings in Canada and the U.S. are completed online today.
BCAA said it will be accepting inquiries from other travel providers who might be interested in purchasing the organizations remaining travel assets or in serving as a preferred travel supplier to members.
The closures do not affect its other operations and 27 BCAA locations will remain open. BCAA will continue to offer insurance services, retail and auto travel services such as its maps, tourbooks and roadside assistance.