Thousands of BA staff take pay cut

12 April 2012

Almost 7,000 British Airways staff have applied for voluntary pay cuts, including 800 who said they will work unpaid for up to a month.

Of the 40,000-strong workforce, 6,940 employees had volunteered for unpaid leave, part-time working or unpaid work by June 24, which the company said will save up to £10 million.

Chief executive Willie Walsh, who has already announced that he will work unpaid for the month of July, said: "This is a fantastic first response. I want to thank everyone who has volunteered to help us pull through this difficult period.

"This response clearly shows the significant difference individuals can make."

Options offered to staff included volunteering for between one and four weeks' unpaid leave or unpaid work, with the pay deduction spread over three or six months.

Staff who have offered to work unpaid will still receive shift allowances and other payments, although they will forego their basic pay.

BA said around 4,000 staff had volunteered for unpaid leave, 1,400 will switch to part-time work and 800 put their names forward for unpaid work, while 740 overseas staff also volunteered to take part in the cost-saving drive.

The airline has been looking to slash costs as part of its survival plan after unveiling an annual loss of £400 million.

Around 2,500 jobs have been cut since last summer and the airline wants to shed another 3,000 posts across its business.

Talks are being held with union leaders to agree a pay and jobs package as part of the cash-saving drive, with Mr Walsh setting a deadline of June 30 for reaching agreement.

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