An industrial relations crisis is developing at British Airways (BA) as the impact of the recession hits the company hard. It faces losses in excess of £400 million.
Its response has been to propose a two year pay freeze for workers, the outsourcing of its cargo operation and 1,000 redundancies.
Last week BA workers in the Unite union at Gatwick and Heathrow airports voted through a thumping rejection to the pay freeze on an extremely high turnout. Unite and management are now in talks.