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British Airways

British Airways staff to meet to discuss cutbacks

July 6, 2009

British Airways' (BA) staff are to meet later today (Monday) for an update on progress in negotiations with the airline.

BA had set a deadline of June 30 for unions to reach an agreement on almost 4,000 job cuts, a pay freeze and other measures, but this date came and went without a deal being struck.

On Wednesday, July 8, Acas, the conciliation service, will chair a meeting between BA and the unions to hammer out a deal.

BA pilots have already agreed to pay cuts. However, discussions with unions representing cabin crew, baggage handlers and check-in staff are ongoing.

Last month, about 7,000 employees agreed to voluntary pay cuts. Almost 4,000 staff are taking unpaid leave this month, 1,400 are working part-time and 800 employees are working for free, including CEO Willie Walsh and Finance Director Keith Williams.

The pay cuts are expected to save the airline about £10 million.

-  A surge in bookings for flights to the United States may provide some relief for the cash-strapped airline. A spokesperson for British Airways told the Daily Mirror that there had been a "huge influx" in booking flights to Los Angeles for Michael Jackson's memorial concert this week. 

"People are flying as close to LA as they can and then taking connecting flights," a spokesperson told the newspaper.

Rival airline Virgin Atlantic has also seen increased bookings. The Daily Mirror reports that almost all Virgin's flights to the West Coast were sold out over the weekend.

A Virgin representative told the paper: "Our flights have been jam-packed to Los Angeles, Las Vegas and San Francisco with Jackson fans."

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