Less Ads, More Data, More Tools Register for FREE

Pin to quick picksInternational Airlines Share News (IAG)

Share Price Information for International Airlines (IAG)

London Stock Exchange
Share Price is delayed by 15 minutes
Get Live Data
Share Price: 163.50
Bid: 163.70
Ask: 163.80
Change: -3.55 (-2.13%)
Spread: 0.10 (0.061%)
Open: 167.15
High: 167.15
Low: 162.85
Prev. Close: 167.05
IAG Live PriceLast checked at -

Watchlists are a member only feature

Login to your account

Alerts are a premium feature

Login to your account

British Airways' Treatment Of Staff Is National Disgrace, Say UK MPs

Sat, 13th Jun 2020 10:43

(Alliance News) - British Airways' treatment of its workforce during the coronavirus pandemic "is a national disgrace", UK members of Parliament claimed Friday.

A report by the Commons Transport Select Committee accused the airline of a "calculated attempt to take advantage" of the crisis by cutting up to 12,000 jobs and downgrading the terms and conditions of the bulk of its remaining employees.

The carrier, part of International Consolidated Airlines Group SA, insisted no decisions have been made and it is doing everything it can to "sustain the maximum number of jobs".

Other aviation companies have also announced thousands of redundancies, including easyJet PLC, Ryanair Holdings PLC, Virgin Atlantic, Rolls-Royce Holdings PLC and Airbus SE.

The cross-party committee of MPs acknowledged that job losses in the sector "may sadly be inevitable" due to the huge reduction in air travel as a result of Covid-19.

But it urged UK-based employers not to "proceed hastily" by making large numbers of people redundant while the government's furlough scheme is in place.

Unions told the committee they are opposed to what they described as a "fire and rehire" approach being considered by British Airways.

They stated the airline is proposing to give redundancy notices to most of its 42,000 workers and offer jobs with new terms and conditions to a proportion of them, if it cannot reach an agreement on job cuts and other changes.

The minimum 45-day consultation period for some workers ends on Monday.

BA has had discussions with pilots' union Balpa, including over the possibility of voluntary redundancies.

But the other two main unions representing its workers – Unite and GMB – are not engaging in talks.

The committee found that British Airways had received nearly GBP35 million from the government as of May 14 by furloughing 22,000 staff.

Willie Walsh, chief executive of British Airways' parent company IAG, told the MPs that the amount of money the airline received from the scheme in April was equivalent to less than two days of staff wages.

Unions have argued that the airline could survive even if all its planes were grounded for 12 months.

The committee's report stated: "The behaviour of British Airways and its parent company towards its employees is a national disgrace.

"It falls well below the standards we would expect from any employer, especially in light of the scale of taxpayer subsidy, at this time of national crisis."

There have been calls from some MPs for British Airways to be stripped of some of its lucrative take-off and landing slots at Heathrow as punishment for the treatment of its workforce.

Tory MP Huw Merriman, who chairs the committee, said: "We will continue to bring pressure where we can, including the airport slot allocation process.

"This wanton destruction of a loyal workforce cannot appear to go without sanction by Government, parliamentarians or paying passengers who may choose differently in future. We view it as a national disgrace."

British Airways said in a statement: "Merriman made clear several weeks ago that the Transport Select Committee's report would be 'fuelled by the kind and impassioned messages' he received, rather than the facts.

"The facts are clear. The government has no plans to help the sector restart and recover as evidenced by the introduction of the 14-day quarantine regulation.

"We find ourselves in the deepest crisis ever faced by the airline industry. A crisis not of our making but one which we must address.

"We will do everything in our power to ensure that British Airways can survive and sustain the maximum number of jobs consistent with the new reality of a changed airline industry in a severely weakened global economy."

Unite general secretary Len McCluskey said: "The case the company makes for sacking 12,000 and trashing the wages of those who stay on the workforce is full of holes because it is a transparent effort to generate profits out of a crisis.

"BA is fooling nobody. Never before has the country witnessed such wholesale mistreatment of a UK workforce and such brutal industrial thuggery."

The committee's report into the impact of the pandemic on the aviation sector also urged the government to abandon its 14-day quarantine rule at the end of June.

It called for a "more targeted and nuanced border control policy", allowing people travelling from countries where the infection rate of Covid-19 is relatively low to enter the UK on a less restrictive basis.

A government spokesman said: "We continue to work at speed to help protect the long-term future of the sector, however we will always put public health first, and we must not risk an extremely damaging second wave of the virus."

By Neil Lancefield, PA Transport Correspondent

source: PA

Copyright 2020 Alliance News Limited. All Rights Reserved.

More News
15 Mar 2024 15:07

London close: Stocks finish mixed after Reckitt compo blow

(Sharecast News) - London's equity markets finished in a mixed state at the end of a quiet trading session on Friday, after another hotter-than-expected US inflation reading overnight.

Read more
6 Mar 2024 15:02

London close: Stocks finish higher after Hunt's Spring Budget

(Sharecast News) - London's stock markets closed in positive territory on Wednesday, as investors absorbed the Chancellor's Spring Budget announcement of a 2p reduction in National Insurance.

Read more
6 Mar 2024 14:05

Tax rise outlined in UK budget for air passengers in premium cabins

(Alliance News) - Airline passengers travelling in premium cabins will be hit by a UK tax hike.

Read more
6 Mar 2024 09:07

LONDON BROKER RATINGS: JPMorgan raises IAG; Jefferies likes Experian

(Alliance News) - The following London-listed shares received analyst recommendations Wednesday morning:

Read more
6 Mar 2024 08:45

IAG flies higher after double upgrade to 'overweight' by JPMorgan

(Sharecast News) - BA and Iberia owner IAG flew higher on Wednesday as JPMorgan Cazenove double upgraded the shares to 'overweight' from 'underweight' and lifted the price target to €2.50 from €1.45.

Read more
6 Mar 2024 07:45

LONDON BRIEFING: ConvaTec profit doubles; DS smith trades in line

(Alliance News) - Stocks are called to open higher on Wednesday, with focus in the UK on Wednesday's Spring budget.

Read more
1 Mar 2024 09:14

LONDON BROKER RATINGS: Numis cuts St James's Place to 'hold'

(Alliance News) - The following London-listed shares received analyst recommendations Friday morning:

Read more
29 Feb 2024 16:53

LONDON MARKET CLOSE: Focus on Fed, ECB after inflation readings

(Alliance News) - The FTSE 100 in London closed higher on Thursday, as a key US inflation gauge ebbed year-on-year, though a monthly increase could keep a lid on Federal Reserve interest rate cut enthusiasm.

Read more
29 Feb 2024 09:25

TOP NEWS: IAG confident as customers continue to take to the skies

(Alliance News) - British Airways owner, International Consolidated Airlines Group SA on Thursday said strong and sustained demand for travel, in particular in leisure, helped drive bumper growth in sales and profit in 2023.

Read more
29 Feb 2024 07:08

IAG profits fly past pre-pandemic levels on strong leisure demand

(Sharecast News) - British Airways owner IAG on Thursday more than doubled annual profit as demand continued to rebound from the effects of the Covid pandemic.

Read more
28 Feb 2024 13:39

Thursday preview: Inflation data, IAG in focus

(Sharecast News) - Should the Federal Reserve begin to reduce interest rates in June?

Read more
26 Feb 2024 09:07

LONDON BROKER RATINGS: Jefferies raises ITM Power to 'buy'

(Alliance News) - The following London-listed shares received analyst recommendations Monday morning and Friday:

Read more
23 Feb 2024 12:06

LONDON MARKET MIDDAY: StanChart prospers while stocks take a breather

(Alliance News) - Stock prices in London faltered at midday Friday, despite strong gains by Standard Chartered, as the wave of euphoria after Nvidia's blow-out earnings began to fade.

Read more
15 Feb 2024 14:55

London close: Stocks manage gains despite UK recession news

(Sharecast News) - London markets had a mixed but ultimately positive day of trading on Thursday, despite news that the UK fell into a technical recession at the end of 2023.

Read more
15 Feb 2024 12:02

LONDON MARKET MIDDAY: FTSE 100 flat as strong start fades

(Alliance News) - The FTSE 100 tread water on Thursday afternoon, as share price declines for some of London's heavyweights offset a strong start for the index, which got a boost from Bank of England rate cut hopes.

Read more

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.