Boondocker and others, this is the offer Bill Francis sent us last year.
Dear colleague
I am writing to tell you some important news on our package of changes in IFCE.
I would urge you to take the time to read this message because it sets out the facts about the progress we are making and offers new opportunities for you.
What this means for you
Firstly, I want to be really clear about a number of things that I know are important to you.
The changes I have announced will not change your individual contractual terms and conditions and continue to offer you a package that is among the best in the industry by some way. Yes, there are sacrifices to be made. We can’t simply turn a blind eye to the crisis we face. Everyone in British Airways is being asked to play a part in securing the future of our business.
My plan will ensure we offer a premium service to our customers, deliver £127m of cost savings through the voluntary reduction of the equivalent of 1700 full time crew and offer a range of opportunities to you.
Voluntary redundancy and part time for everyone who wants it
More than 43 per cent of you have chosen to register for one of the voluntary options made possible by our reduced crew complements onboard. I have given voluntary redundancy to everyone who has registered for it – that’s more than 1,000 of you – and, by March 2011, I will offer a part time contract to all 5,594 of you who want to reduce your hours. This includes a new 33 per cent arrangement.
Transfers and promotions
I know that more than 2,000 of you at Heathrow would like to transfer fleets or take up one of the new opportunities for temporary and permanent promotions to CSD. I will work through these requests soon as possible, subject to the demands of our flying schedule.
No cut in pay
I am not asking any of you to take a pay cut and you will not lose any of your existing allowances. While the plan does include a base pay freeze until March 2011, around 75 per cent of you will still receive two increment increases, worth between two and seven per cent for 2009 and then a further increment also worth between two and seven per cent for 2010.
What’s new
When Willie met with Unite leaders last Monday, 19 October, he agreed to accept Unite’s request for us to talk with them about this plan and to consider any alternative proposal they may have to new fleet. In a genuine attempt to reach agreement, we added to our package an offer which includes a new monthly travel payment, proposed changes to the disruption agreement and our proposed new redeployment arrangement that would protect our commitment to avoid compulsory redundancy whenever we can. You can scroll down and see the package.
Reassurance on variable pay and allowances
My plan to recruit new Heathrow cabin crew on different contracts flying on a separate fleet, means I can drop the things you told me you didn’t like such as reducing time down-route or reducing your time off.
I know some of you were concerned that a separate fleet of new crew would impact on your variable pay and allowances and you wanted some reassurances from me.
I am really pleased to be able to offer you that reassurance with a fixed monthly travel payment, which would replace the variable pay which you receive now when you are on flying duties. You would still receive your existing meal allowances.
This has been offered to Unite to consider as a suggested way forward.
Putting customers first
We must put our customers first in times of disruption - the new changes we have proposed would do this, have a minimal impact on you and you would keep the extra payments you get.
There would be no change to the definition of disruption, no change to your duty day disruption payments and you would still get home and return to your roster as soon as possible.
A way forward
The changes I am proposing hold firm to my principle of minimising the impact on you as current crew and show that I have listened to what matters to you.
I look forward to us moving forward and in the meantime thank you for your continued professionalism and service to our customers and their safety.
Regards
Bill Francis
Head of IFCE
The Package Offer made to Unite on Monday 19 October 2009, in brief
Current Cabin Crew
* No change to terms & conditions for current Cabin Crew
* Protection of current earning potential through offer of fixed monthly travel payment excluding meals, instead of current variable pay (based on last years schedule)
World Wide CSD = £9,676 pa
World Wide Purser = £9,258 pa
World Wide Main Crew = £8,085 pa
Eurofleet CSD = £2,470 pa
Eurofleet Purser = £2,470 pa
Eurofleet Main Crew = £2,266 pa
* Crew complement changes:
1 Purser off (service covered by working CSD)
Extra Crew member removed from 12 destinations (currently operates 1 over complement)
Eurofleet aligned with Gatwick complements
* Revised World Wide disruption agreement
Put the customer needs first during disruption
Management decision to apply agreement, and Trade Union advised of the use of the agreement
No change to duty day disruption payments to Crew (CSD £260, Purser £230, Main Crew £200)
Review application of disruption agreement on monthly basis with Trade Union
Minimise impact on Crew (get home ASAP and return to roster ASAP)
* Voluntary redundancy available.
1,011 colleagues accepted.
* Part-time working offered to all.
5,076 colleagues registered interest
Anticipate all will be accepted in phases between now and March 2011.
616 colleagues confirmed acceptance of new part time contract to date
518 colleagues registered for new 33% contract
* Cabin Crew transfers between LHR fleets
2,313 colleagues registered interest in transferring. Subject to grade mix, as many as possible will be accepted.
* Promotion opportunities – first since 2006.
444 World Wide Pursers registered to work up as temporary CSD.
Further permanent opportunities available in new year for approximately 120 colleagues.
New Cabin Crew
* Competitive terms and conditions for new entrants (10% above market average).
New share scheme and new travel ticket
* Additional 100% staff bookable concession for colleague and travel partners, based on company performance in 2009/10.
* Company performance share scheme – 2010 – 2013.
Redundancy
* Maintain commitment to avoid compulsory redundancy where possible
Working with the Trade Unions
* Agreement on working constructively with Trade Unions to avoid future conflict
* Agreement on Trade Union structures and facilities enabling a modern relationship.
New redeployment arrangements agreed and recommended by Trade Union National Officers (August 2009)
* Surplus colleagues given 52 weeks to find a new role
* Surplus colleagues given preferential access to job vacancies
* Pay protection run down over 52 weeks for those redeployed
*Pension protection during last 5 years before retirement for redeployees
* Voluntary buy-out of existing Personal Differentials
Pay
75% of Cabin Crew (10,255) are not at top of the incremental pay scale and will continue to receive incremental increases of;
* Between 2% - 7% in 2009 plus
* Between 2% - 7% in 2010.
Employment Policies
Negotiations have yet to be finalised on changes to employment policies.
Posted with permission