Bad News for Podge andf Anyone who works for BA

[JohnDotCom]

Financial News


Tuesday June 16, 05:49 PM
BA Asks Its Staff To Work For Nothing
By © Sky News 2009 Click to enlarge photo

British Airways is asking its 40,000 staff to work for nothing.
Chief executive Willie Walsh said he was making the appeal because the company was in a "fight for survival".
BA has asked its staff to work for between one week and one month without wages.
The company stressed that the staff's decision whether to take them up on the offer was entirely voluntary.
But it comes as the airline looks to slash 2,000 jobs.


The appeal was made in a letter to staff and through the in-house newspaper British Airways News.

Mr Walsh said he was effectively asking staff to take a pay cut.
Under the headline Action Time, the article read: "Colleagues are being urged to help the airline's cash saving drive by signing up for unpaid leave or unpaid work.
"From tomorrow, people will be able to opt for blocks of unpaid leave or unpaid work, with salary deductions spread over three to six months, wherever possible.
"The unpaid work option means people can contribute to the cash-saving effort by coming to work while effectively volunteering for a small cut in base pay."
Mr Walsh said he would forgo his wages in July, worth a reported £61,000, after the company announced a record £401m pre-tax loss in May.
The Transport and General Workers' Union reacted with anger to his call.
"Mr Walsh can afford to work for free but our members cannot," a union spokesman said.
GMB general secretary Paul Kenny dismissed the call as 'not serious'.
"I do not think suggestions like that are really serious," he said.
"There has got to be a much longer term (solution). We cannot keep having a month off or a month of unpaid just to get the company out of the jam."
He added:"There are already quite a lot of low paid people at BA - not everyone is a chief executive.
"BA is in a very, very serious position, so no one is joking about this."
And those using the Professional Pilots Rumour Network were also unimpressed.
"The CEO who is giving up one month's salary is nothing but a drop in the ocean. But the guys on 18K-24K would see 200 quid a month out of their wages for 6 months!" wrote Betpump5.
Staff have until June 24 to register their interest and follow their boss' example.
"There will be further opportunities to apply, but I urge you to take action now," said a letter to staff from Andy Lord, director of operations.
BA is looking to cut 4,000 jobs, including 2,000 voluntary redundancies among the 14,000 cabin crew, as it strives to save cash.
It is also asking staff to consider temporary or permanent part-time work or unpaid leave of between four weeks to a year.

Until BA improve their reputation and start giving proper Customer service at a price the customer wants....they are doomed!

[ragitty]

Taking a pay cut is not so drastic if you are at the top of your game, but for most hard working people at BA there salary is not that great so to ask them to take a cut in wages absolutely stinks.

It is hard enough as it is with most people struggling because of the present recession, I really do believe that the people who run BA live in cloud cookoo land.

[moonstoneboy]

I suppose there are two sides to this. With the downturn in airline traffic, especially in the Business Class sector then airlines will be looking to reduce staff. If staff are made redundant by BA then they will not find a job with another airline and the dole money will be less than they are earning now. By enabling BA to reduce costs over the short-term they might preserve their jobs and future.

Perhaps the staff should negotiate to work for a period without pay which, for some, might be difficult and, when things pick up and the company is profitable that they receive recompense for the pay they forgo.

Paul

[Jules]

Originally Posted by ragitty

Taking a pay cut is not so drastic if you are at the top of your game, but for most hard working people at BA there salary is not that great so to ask them to take a cut in wages absolutely stinks.

It is hard enough as it is with most people struggling because of the present recession, I really do believe that the people who run BA live in cloud cookoo land.

It might stink Ragitty but the alternative is no job at all if the company folds.
Councils are asking staff to take unpaid leave including Mrs Jules and this she has agreed to do.

[ragitty]

Jules you may well be right, but i would put money on it that they will lay people off anyway whether or not they volunteer to work a month without wages.

[podge]

We in enginering are doing our best to help out, normally any leave is impossible in the Summer months.I for one am taking unpaid leave and it can be taken whenever you want it and its not so bad a deal.The money is paid back(deducted over a 6 month period), so it does not impact too much.I have really cooked my shoulder and am not in any private health scheme and my grade is not in BUPA either, yet B.A are funding all my private treatment.The people who need to face facts are some of the Cabin Crew.We are even working through our breaks to get these aircraft servicable and our local managers are playing ball letting us get away early if we need to.Look how long Honda worked for unpaid leave,if it saves our jobs...sobeit.Right...back to the books!P.

[JohnDotCom]

Trouble is P that many (cabin crew and pilots particular) will not go along with this and would rather see mass redundancies or closure rather than work for no Pay.
Todays mentality...........

WW can afford to loose one months pay £65,000 (still has his share options etc) but a lot of people are already spent up to their Wages limit,
thats what caused many of the problems of today,
living beyond their means.

[podge]

Very true John.It seems the press have picked up on the "work for nowt" idea,in fact as far as we know,not many people are doing this...a few managers perhaps.Quite a few of us are going for the unpaid leave,I have no problem with those who don't, especially with young families.What I cannot understand is the "stuff it,we can strike etc attitude",over on the terminals, if they were outside, out of work....or working for themself.I was self employed for over 10 years.....that really makes you look at this situation with different eyes.On a lighter note,thanks for the SFAR reminder......I HAD JUST PUT THAT ALL AWAY TO GET SOME AIR ON HERE FOR 5 MINUTES!!
TTFN..P.

[StevenWilliams]

BA looses money while Virgin makes profits. It's all swings and roundabouts.

However asking mere mortal workers to work for free is probably nit a great idea but cutting back on bonuses and pay reviews for upper management would be a good start.