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BA staff subsidies take £2.7m hit
BRITISH Airways is cutting cut staff food subsidies to save £2.7 million a year.
The airline yesterday said it was no longer "financially feasible" to subsidise staff catering by up to 60 per cent, which costs the company 6.5m a year.
BA also announced "modest and proportionate" price rises in staff food prices from 5 October, following a review of catering.
Raghbir Pattar, BA's general manager of UK customer partnerships, said: "There is a need to remove costs from our business and we will need to implement permanent changes as a result.
"BA will continue to subsidise food and beverages provision for colleagues, but to a lesser degree."
The move is part of a huge cost-cutting drive by BA, which includes thousands of job losses.
Talks between the company and unions on pay, jobs and working arrangements have so far failed to reach agreement.
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Thursday 24 May 2012
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