But what will this do for the poor students who are still there waiting to complete their course? What will happen to the dwindering motivation of BAE staff and instructors faced with imminent job loss?
This is only an opinion but I assume BAe will be careful not to let any students down. I would expect them to keep operations running to complete all extant course, although (and I speculate here) they may alternatively pay a different provider to complete the training, if the students can be persuaded to agree.
Assuming they continue I would hope that the instructor morale would not be a problem. My closest experience was the closure of SFT, much more precipitous and less orderly than Jerez would be, with the employees losing a lot more. There the priority of the instructors was certainly on the students, and helping as much as possible. Arrangements were made to keep the school open for three weeks with unpaid instructors to complete as many subject courses as possible (I was not directly involved, as my subject was too large to complete and so dropped). It is to be hoped that the focus of all instructors is as close to the requirements of the students as that of my colleagues was.