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article imageBritish Airways to cut 1,700 cabin crew jobs

By Gemma Fox     Oct 6, 2009 in Business
Battling against mounting losses, British Airways has announced that they will cut 1,700 cabin crew jobs and freeze pay as it searches for ways to cut costs.
The proposed cuts will reduce the amount of cabin crew from 14,000 to 12,300, say BA. The cuts will involve staff who manage the crew and BA said there would be no reduction of customer service on flights.
Also announced was a plan to freeze the basic pay of cabin crew for two years. Further talks will take place on the subject of wages.
British Airways warned that without these changes being made, they would continue to lose more money each month.
British Airways issued a statement to announce the changes:
British Airways is currently not profitable and we expect to record a significant loss for the second consecutive year - the first time that has happened in our history. Revenues are down, so we must reduce costs to restore profitability. About 1,000 members of cabin crew would like to take voluntary redundancy and a further 3,000 would like to switch to part-time working. To facilitate these requests (which represent 1,700 manpower equivalent positions in total), we must make changes to the way crew work. It is essential we make ourselves more efficient if we are to ensure our long-term survival.
Sources from the cabin crew saw say that BA is trying to save £140m ($223m) from salary costs by imposing "significant changes".
Permanent changes from November 16th include;
- A new pay and conditions structure for new employees
- The removal of a purser from BA's Worldwide routes
- The removal of an additional crew member from certain designated flights, including long-haul flights, as well as the pay freeze
British Airways also faces the risk of provoking a dispute with staff as it chose to act and make the announcements after nine months of talks with unions and three days spent last week in negotiation at Acas, the conciliation service.
Union Unite say that the issues that BA announced were not discussed at the talks at Acas last week.
More about Job cuts, Cabin crew, British airways
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