I have not read all the posts in this thread but have got the general gist.
Am I basically right in the assummption that BA pilots (and presumably other staff) are very unhappy because the "defined benefits" pension scheme is underfunded and BA say they cannot afford to top it up to be fully funded?
If I am wrong just tell me.
I am nothing to do with BA but have just gone through a very similar experience with my own employer (whose trading margin by the way is 5%-6%) - as have hundreds of thousands of others.
Fact. Life expectancy has increased dramatically in the last 25 years and this means that pensions will have to be paid for longer.
Fact. The chancellor changed the tax rules on pension funds so that the rate of return on investments is effectively lower.
Fact. Stock market perfromance since the 90's has not been good giving poor returns on the money invested.
Fact. the method of calculating the funding level of pension funds has been changed to be a lot more conservative making the picture worse for the future.
These four factors basically mean that the pension fund has much bigger liabilities (current & future pensions) with a much reduced future income.
You might not like it and it might be painful but that is what has happened it is not unique to BA.
So what would YOU do in similar circumstances? Your ONLY choices are:-
1. Try to reduce the liabilities by reducing future pension liabilities
2. Start transferring money into the ever increasing hole - without any certainty that that it will help in the medium or long term
3. Do some of 1. and some of 2.
4. Do nothing and let the pension deficit force the company into liquidation so that there are no jobs and no pensions.
Those are the stark choices, there are no others.