British Airways is asking its 40,000 staff to work for nothing.
#1
British Airways is asking its 40,000 staff to work for nothing.
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British Airways is asking its 40,000 staff to work for nothing.
British Airways admits it is effectively asking staff to take a pay cut
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 is working for nothing in July
"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.
Read the BA e-mail that introduced the latest recession acronym...
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.
British Airways is asking its 40,000 staff to work for nothing.
British Airways admits it is effectively asking staff to take a pay cut
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 is working for nothing in July
"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.
Read the BA e-mail that introduced the latest recession acronym...
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.
#2
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LMAO.
If my company wanted me to work unpaid for a month then they really wouldn't get much out of me for that month + I'd be taken ill on several occasions. Not sure that would work very well for BA though.
If my company wanted me to work unpaid for a month then they really wouldn't get much out of me for that month + I'd be taken ill on several occasions. Not sure that would work very well for BA though.
#3
I'm sure if all members of staff were on £61k per month they could afford to take a month unpaid.
Unfortunately the 99.99% of BA workers aren't on that wage, and actually have bills to pay.
Unfortunately the 99.99% of BA workers aren't on that wage, and actually have bills to pay.
#6
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The company I work for has asked their staff the same thing.
A 5% or 10% paycut dependant on job grade. All voluntary...most have signed.
Somone on 100k will spend far more money than someone on 20k so the impact is still felt. However in most cases this is basic salary and not bonuses and benefits.
A 5% or 10% paycut dependant on job grade. All voluntary...most have signed.
Somone on 100k will spend far more money than someone on 20k so the impact is still felt. However in most cases this is basic salary and not bonuses and benefits.
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Well I think it's a brilliant gesture and sets a really good example to the rest of the staff : that Mr. Walsh is prepared to scrape by on a paltry £671,000 (excluding bonuses & share options) is a truly magnanimous thing to do. I've absolutely no doubt whatsoever that the rest of the staff, who earn in a year what Mr. Walsh earns in a week, will be falling over themselves to sign up for this scheme.
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#9
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Maybe if BA's senior management hadn't spent so long putting so much effort into making their airline so mediocre, they would possibly not be plummeting quite so rapidly into the **** now
#11
#12
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Its not like they didn't know about it, they have been predicting doom for the last two years, surprising it's took this long for an announcement of culling/paycuts.
I think they also have a big deficit with regards to pensions as well..not good.
I think they also have a big deficit with regards to pensions as well..not good.
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One month unpaid is an 8% (ish) pay cut. Article says that it will be spread over 3-6 months ...
Repay them in kind & move on when the economy picks up again I say. Ditto for anyone else who gets turned over by their employer sometime soon.
TX.
Repay them in kind & move on when the economy picks up again I say. Ditto for anyone else who gets turned over by their employer sometime soon.
TX.
Last edited by Terminator X; 17 June 2009 at 12:12 AM.
#14
I would participate in that scheme...... if they cut 2000 jobs I am sure being one of the people who participate will be held favourably over those who did not participate.
OK it sucks, but it is life
OK it sucks, but it is life
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