British Airways to axe 1,200 jobs in bmi takeover

BA says it has began consultation with trade unions on the integration of the loss-making airline, bmi.  IAG was given regulatory clearance to buy bmi from the European Commission 2 weeks ago.  Bmi is losing more than £3m a week, is not a viable business, and, without the acquisition, was facing closure with the potential loss of all 2,700 UK based jobs.  The consultation proposes the full integration of bmi mainline into BA securing approximately 1,500 jobs. The integration proposals could result in up to 1,200 redundancies.  Jobs secured under the proposals include the transfer to BA of around 1,100 cabin crew, pilots and engineers based at Heathrow and up to 400 passenger services jobs at Heathrow Terminal 1. The UK redundancies will mainly be at Castle Donington and at regional airports.

 


British Airways to axe 1,200 jobs in bmi takeover

British Airways is proposing to cut 1,200 jobs as it integrates bmi mainline into its operations at Heathrow.

12 Apr 2012 (Telelgraph)

The airline said in a statement on Thursday that it had began consultation with trade unions on the integration of the loss-making airline.

International Airlines Group, the owner of BA, was given regulatory clearance to buy bmi from the European Commission two weeks ago.

BA said bmi is losing more than £3m a week and, without the acquisition, was facing closure with the potential loss of all 2,700 UK based jobs.

The consultation proposes the full integration of bmi mainline into British Airways securing approximately 1,500 jobs. The integration proposals could result in up to 1,200 redundancies.

Jobs secured under the proposals include the transfer to British Airways of around 1,100 cabin crew, pilots and engineers based at Heathrow.

The proposed UK redundancies consist primarily of roles based at bmi’s head office at Castle Donington and at regional airports.

BA said: “Consultation will seek to reduce the number and mitigate the impact of the proposed redundancies, including the potential to offer vacancies within British Airways at Heathrow.

“British Airways will also be working on potential job opportunities with industry partners in the Midlands, such as Rolls-Royce, and will look to create jobs at its engineering facility in Glasgow from January 2014 when the contract for bmi aircraft heavy maintenance work outside the UK expires.”

Keith Williams, British Airways’ chief executive, said: “bmi is heavily loss making and is not a viable business as it stands today. Our proposals would secure around 1,500 jobs that would otherwise have been lost.

“As we look to restructure the business and restore profitability, job losses are deeply regrettable but inevitable. We will work with the unions to explore as many options as possible and are already working with industry partners.

Keith Williams, British Airways’ chief executive, said: “bmi is heavily loss making and is not a viable business as it stands today. Our proposals would secure around 1,500 jobs that would otherwise have been lost. As we look to restructure the business and restore profitability, job losses are deeply regrettable but inevitable.”

He said the deal was good news for customers and would offer new destinations, new routes and new schedules.

“For customers with bmi bookings to or from Heathrow this summer, it is business as usual and customers can continue to book with confidence,” Mr Williams said.

http://www.telegraph.co.uk/finance/newsbysector/transport/9200389/British-Airways-to-axe-1200-jobs-in-bmi-takeover.html

 

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12 April 2012

BA confirms up to 1,200 bmi job losses

British Airways admitted today that the takeover of bmi by its parent IAG could lead to up to 1,200 redundancies.

BA has begun consultation with trade unions on proposals to integrate bmi mainline into its operations at Heathrow, which it said could result in up to 1,200 redundancies at bmi’s head office at Castle Donnington in the Midlands and at regional airports.

BA claimed that without the merger, bmi – which is losing £3m a week – would have closed with the loss of 2,700 jobs.

It said the integration with BA would secure 1,500 jobs, including up to 400 passenger services jobs at Heathrow Terminal 1. It is proposing to unions that up to 1,100 bmi cabin crew, pilots and engineers based at Heathrow transfer to BA.

BA chief executive Keith Williams said: “Bmi is heavily loss making and is not a viable business as it stands today.  Our proposals would secure around 1,500 jobs that would otherwise have been lost.

“As we look to restructure the business and restore profitability, job losses are deeply regrettable but inevitable.  We will work with the unions to explore as many options as possible and are already working with industry partners.”

BA’s parent IAG received EC approval to takeover bmi last week.

“This deal is good news for our customers and will offer new destinations, new routes and new schedules in due course,” added Williams.  “For customers with bmi bookings to or from Heathrow this summer, it is business as usual and customers can continue to book with confidence.”

Consultation will seek to reduce the number and mitigate the impact of the proposed redundancies, he said, including the potential to offer vacancies within BA at Heathrow

BA also said it was working on potential job opportunities with industry partners in the Midlands, such as Rolls-Royce, and will look to create jobs at its engineering facility in Glasgow from January 2014 when the contract for bmi aircraft heavy maintenance work outside the UK expires.Discussions with potential buyers for bmibaby and bmi Regional are continuing.

http://www.travelmole.com/news_feature.php?m_id=s~T_Y!vnm&w_id=9000036&news_id=2001072#shares


 

 

22 December 2011  (BBC)

The owner of British Airways says it has reached a binding agreement to buy the troubled airline BMI.

The £172m deal will provide International Airlines Group with up to 56 additional taking off and landing slots at Heathrow airport.

IAG’s chief executive Willie Walsh says the deal will result in a number of job losses at BMI.

http://www.bbc.co.uk/news/business-16300987

 


 

 

see also

 

British Airways plans to cut almost 600 jobs at Gatwick Airport

April 11, 2012

Almost 600 BA employees at Gatwick could lose their jobs or be transferred to another company as part of BA plans to cut costs. It plans to cut 170 customer service and management support jobs and outsource 400 ramp worker roles. The jobs it plans to outsource include baggage, de-icing and coaching operations, and the arrivals baggage service. BA has begun consultation with unions over the plans. The GMB said the announcement was a “disaster for staff morale”. Unite said the plans were “extremely worrying” and called for the airline to guarantee no compulsory redundancies. BA is the only airline operating out of Gatwick with its own ground staff workforce. BA overall employed 7.7% fewer staff in 2010 than in 2009.

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