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British Airways workers secure a 13% pay rise after strikes threatened

Published 16/08/2022, 08:51
Updated 16/08/2022, 09:11
© Reuters.  British Airways workers secure a 13% pay rise after strikes threatened

Up to 16,000 British Airways (LON:ICAG) workers are set to receive a pay rise of as much as 13% in a reversal of cuts imposed during the Covid-19 pandemic.

The increase was secured after union leaders threatened industrial action among check-in staff in July.

Travel disruptions likely played in Unite’s favour during negotiations, as the airline industry reeled from mass strikes and staff shortages this summer.

Unite general secretary Sharon Graham said: “By standing strong with Unite, our members have compelled BA to table a pay rise that goes toward compensating for the pay cuts suffered during the pandemic.

“There is still some way to go for workers at BA to trust this company again, given the hostile manner in which they conducted themselves during the pandemic.”

The deal will see workers receive a lump sum worth 5% of their wages in August, a consolidated 5% increase in September and a further 3% consolidated rise in December.

While wage growth across the UK is growing amid low unemployment numbers, it comes at a time of runaway inflation.

BA workers could see their pay rise swallowed up as the Bank of England warns that inflation could soon reach 13%, combined with a prolonged recession in the years ahead.

Read more on Proactive Investors UK

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