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British Airways’ plan to eliminate cabin crew after which rehire them on inferior phrases is now “off the desk”, boss Alex Cruz has mentioned.
Unions and MPs had accused the airline of following a “fireplace and rehire” coverage, which noticed some staff going through pay cuts of as much as 50%.
Chatting with MPs on the Transport Choose Committee, Mr Cruz mentioned “there shall be no must subject new contracts”.
BA reached the define of a jobs settlement with union Unite final week.
The pair have been in a bitter dispute over BA’s plans to shed as much as 13,000 jobs and reduce pay, amid a collapse in demand for air journey.
Mr Cruz mentioned it was a matter of “remorse” that it took 73 days for BA’s non-pilot unions to sit down down and negotiate.
However Labour MP Sam Tarry responded: “I’d argue that for those who hadn’t put a metaphorical gun to their head then that may not have occurred.”
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Mr Cruz mentioned the airline would now comply with the “customary methodology” of union agreements and make amendments to present the contracts.
Particulars are nonetheless being labored out and ballots of some workers are but to be held.
Lengthy-serving cabin crew members face a 15% pay discount, whereas hoping to retain most of the allowances which represent a big a part of their total pay.
“We’ve reached agreements in a majority of areas”, Mr Cruz mentioned.
“We very a lot hope that the results of the ballots shall be to just accept these ballots.”
‘Devastated enterprise’
In relation as to if or not BA should make 13,000 workers redundant, Mr Cruz mentioned that the corporate did not “must get to that quantity”.
Nevertheless, numerous long-serving cabin crew have taken voluntary redundancy and plenty of workers felt that the phrases being provided on the time meant that was their solely alternative.
Mr Cruz advised MPs that the pandemic had “devastated our enterprise… and we’re nonetheless preventing for our personal survival”.
Final week the airline flew about 187,000 passengers – about 25%-30% of its regular flight schedule.
“Everyone seems to be going through choices we by no means needed to face,” Mr Cruz mentioned.
He mentioned he had taken a 33% pay reduce throughout the pandemic, decreasing his wage from the £805,000 he earned in 2019.
However he refused to touch upon an £833,000 bonus paid to the outgoing boss of BA’s mum or dad firm, Willie Walsh.
IAG confronted a backlash from shareholders over that fee to Mr Walsh who left the corporate final week.
