27 JULY 2020
© 2022 Business Travel News Ltd.
Monday 31 August appears to be the crunch date by which many British Airways non-pilot staff will have to make a decision regarding their future employment.
IAG, not BA, has confirmed a recommendation by pilot union BALPA on forward plans involving 270 compulsory job losses.
The choice for thousands of cabin crew, ground staff and engineers seems to be take redundancy or reapply for the previous job at less pay and revised employment status. If not re-employed the disbursement is then the statutory severance pay. It is a gamble.
BA presented the choice to staff in notices sent out after dismissing alternative proposals presented by union officials.
The carrier aims to cut up to 12,000 jobs from a workforce of 42,000 and reduce basic salary by 20%, increasing flexibility with the amalgamation of three existing cabin crew fleets on common pay and conditions.
A spokesperson for BA said: “We’re facing the biggest crisis in the history of aviation and have to accept we now have a very different future.
“BA has no right to exist and if we do not adapt quickly our survival is not guaranteed.
“We have continually asked Unite and the GMB to work with us to help reduce the need for job losses. We remain fully committed to collective consultation and even at this late stage hope the unions will join us to help save jobs.”
British Airways is said to be burning through £20m a day and owner IAG plans a €2.5bn rights issue. BA's biggest money spinner, the routes from the US into Heathrow, are virtually moribund with high yield Business Class passengers not seen. The US remains very restricted for entry. Some staff, living away from Heathrow, are finding travelling to work by air impossible.
Strike action is not ruled out but it could become self-destructive.
An industry guru said there has to be a meeting of minds. “Smaller, much more efficient BA is needed at this time. Both sides have to give way.”
IAG’s Chief Executive, the controversial Willie Walsh, is due to finally retire in October.
All comments are filtered to exclude any excesses but the Editor does not have to agree with what is being said. 100 words maximum
franco mancassola, USA
The business class appeal of BA disappeared years ago. The mentality of cheap and shoddy has been implemented with the arrival of new management. The The product, on board and on the ground is now unappealing and below standard so business class pax are deserting in drove. BA forgot the most basic principle that "the best client is the one they already have"
Afron Emigee, Crawley
Leadership is something BA clearly does not have! At least the man at Heathrow is standing up and being counted.
Paul Graham, London
The way British Airways is going it will not even make the play offs.