Stalemate in British Airways job-loss talks

Published on Wednesday 1 July 2009 00:30

TALKS aimed at agreeing job losses and other cost savings at British Airways ended without agreement last night.

This is in spite of the fact the airline said it wanted agreement with its main trade unions before the end of the day for a range of cost-cutting measures.

Reports emerged last night that BA wants to cut 5,000 jobs and introduce a two-year pay freeze for ground staff, cabin crew and baggage handlers.

Union officials said they would be returning for further negotiations today, but sources said they did not know if the company was prepared to continue negotiating. GMB union national officer Mick Rix said the unions agreed to adjourn the discussions last night to allow more time for talks with the company.

A spokesman for Unite said: "We will reconvene to continue negotiations on a mutually acceptable way forward, which protects the long-term interests of our members, loyal BA customers, investors and the company."

It is believed the two sides were unable to reach agreement because of a number of sticking points, including concerns over compulsory redundancies and arrangements for consulting over job losses.

The unions are understood to have offered to agree to changes on a temporary basis until the economy and the airline's prospects improve.