07/07/2009

BA Staff Reject Cost-Cutting Measures

More than 2,000 British Airways cabin crew staff have rejected the airline's plans to reduce costs by cutting thousands of jobs and freezing pay.

Following a mass meeting today with staff, unions said they were not prepared to accept an "assault" on their pay, terms and conditions.

A Unite union spokesperson said feelings among the airline workers were "running high".

He added: "There was an overwhelming rejection of BA's proposals, including a new rate for starters, a pay freeze and changes to crewing patterns that are quite profound."

But the union said it was prepared to consider a two-year freeze on pay - which it said would save the company £50 million - as well as reviewing the job of the purser among cabin crews.

Conciliation service Acas will chair a meeting between BA and unions on Wednesday to try to reach an agreement.

Unite said it was not threatening industrial action ahead of Wednesday's talks, but added if the talks break down, unions could ballot their members on industrial action.

It had set a deadline of 30 June to reach a deal on around 3,500 job cuts, a pay freeze and other changes. However, no agreement was made.

The airline has been striving to come up with cost-cutting measures to stave off the affects of recession, following a record annual loss of £401 million.

Last month, BA announced 7,000 of its staff have chosen to take voluntary pay cuts in attempts to save money.

Of those, 800 workers have volunteered to work for nothing for up to a month, while another 4,000 workers are taking unpaid leave for varying amounts of time.

The airline also said 1,400 people have volunteered to work part-time.

The company says the move will save the airline £10 million.

BA was hit by an unofficial strike in 2003 over terms and conditions and was grounded again in 2005 by a dispute over catering staff.

(JM/BMcC)

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