Talks over British Airways cost-cutting plans stall

Talks aimed at agreeing job losses and other cost savings at British Airways has ended without agreement, despite the airline setting a deadline of Tuesday for reaching a deal. The airline said it wanted agreement with its main trade unions before the end of the day for a range of cost cuts, including 3,500 job losses. Union officials said they would be returning for further negotiations on Wednesday, but sources said they did not know if the company was prepared to continue negotiating. Mick Rix, national officer of the GMB union, said the unions agreed to adjourn the discussions tonight to allow more time for talks with the company. "We hope that the company will be present for tomorrow's discussions," he said. A spokesman for Unite said: "We will reconvene tomorrow to continue negotiations on a mutually acceptable way forward, which protects the long-term interests of our members, loyal BA customers, investors and the company." Union sources said they had no idea if the company was prepared to continue negotiating. It is believed the two sides were unable to reach agreement because of a number of sticking points, including concerns over compulsory redundancies, as well as arrangements for consulting over job losses. Unions are understood to have offered to agree changes on a temporary basis until the economy and the airline's prospects improve, but BA is believed to want permanent changes.

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ITN | June 30, 2009

Tags:. .compulsory. .gmb. .redundancies. .rix. .idea