With the revelation about cabin crew and pilot average pay in IBERIA, I will be urging BASSA to accede to Willie Walsh's demands of market rate plus 10%....... as offered in Spain.
Funny how BA never compared its cabin crew pay to IBERIA, especially as it planned to merge with the company. Now we know why!
Naturally, no pilot or cabin crew member in IBERIA will be exactly rooting for this merger. BA will be far more profitable anyway as a stand alone business than it propping up IBERIA in the future. As BA exits its negative profit strategy in 2011, IBERIA will still be paying its crews 30% more than the current rates in BA.
What a marriage made in heaven. Well down Willie.
It is a novel argument to insist being paid at market rates in a different country.
As already pointed out to you, exchange rates influence the comparison. The rate of exchange between the £ and Euro is 1.15. Three years ago it was 1.50.
Also, Iberia is actually taking steps to reduce CC costs by transferring all short and medium-haul routes to a new airline company, and retiring all CC aged over 55.
Iberia is also in a very strong financial position. It has a modern fleet, no debt, and a cash balance of 2.304 billion Euros. In the current climate, that is an extremely enviable and fortuitous position to be in.
As for all crews "naturally" not rooting for this merger. So I presume you're happy for BA to stay as it is whilst the rest of the industry consolidates and with a hub at LHR with very little prospect of expanding in the near future?