BA turbulence as staff asked to work for free

THERE was further turbulence at British Airways (BA) yesterday after the airline asked its 40,000-strong staff to work without pay, as the company “fights for survival”.
 

The flag carrier is desperately seeking to cut costs, having made record losses of £401m for 2008.
 

Airlines across the globe are struggling as they deal with a slump in premier traffic and last year’s surging fuel prices. But BA is also weighed down by its massive pension deficit, thought to be around £3bn. The airline’s market capitalisation is about £1.8bn.
 

BA has offered staff the option to take unpaid leave, work fewer hours, or to work for free “from one week upwards”.
 

 “Staff have until 24 June to volunteer for unpaid work,” a spokeswoman for BA said. She added that salary cuts would be spread over three to six months.
 

BA’s chief executive Willie Walsh and chief financial officer Keith Williams have said they will work for free in July.
 

“Walsh can afford to work for a month for free,” a spokesman for the Unite union said yesterday. “Our members can’t.” 
 

BA remains in union talks.