PPRuNe Forums - View Single Post - IAG: BA restructuring may cost 12,000 jobs
Old 14th Jun 2020, 07:29
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777JRM
 
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Originally Posted by wiggy
It may be a moot point ATM but an observation - Pre COVID BA was managing to make more than 1 Billion profit per annum despite these "legacy" costs ( which in the Cabin Crew arena were reducing anyway as the percentage of Cabin Crew on "legacy" contracts reduced).

In fact, BA was making €2bn profit with these same cost structures.
Last year was the second highest ever, I think.
That’s 2/3rds of IAG total profit, yet BA will take most of the ‘pain’.

One might also ask: Why should just the employees take the pain for poor fuel-hedging decisions that cost €1.3bn.
When will we see shareholders take some of that pain, eg, in a rights issue perhaps?
I think the Qataris can afford it.

And yes, as Mixed Fleet expands and Legacy retire off, the costs go down anyway.
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