IAG: BA restructuring may cost 12,000 jobs
I didn't see WW break a sweat. Could have been a lot worse.
I did post a comment about it being not so much a grilling, as a few minutes in the bun warmer. But it got deleted.
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IF it got to the point that BA had failed because things were so bad then somehow I doubt that assertion..
Compared to a month ago when I'd have said failure of IAG (or British Airways) was virtually impossible I'd be a lot more circumspect now. I also wouldn't be at all surprised if BA re-issues the HR1 with further redundancies in the next few weeks. :-(
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Aviation will be reshaped
I strongly believe that this unprecedented crisis will reshape aviation for ever.
Governments will do anything in their power to protect jobs, this goes together with protecting their national interest especially in the case of national aviation which is a highly critical service in any modern economy.
Standard rules of deregulated Aviation are out of the window.
We have seen nothing yet.
The world has changed for ever.
Aviation has changed for ever and Governments will have no choice unless the crisis ends within a few more weeks which is very unlikely.
Governments will do anything in their power to protect jobs, this goes together with protecting their national interest especially in the case of national aviation which is a highly critical service in any modern economy.
Standard rules of deregulated Aviation are out of the window.
We have seen nothing yet.
The world has changed for ever.
Aviation has changed for ever and Governments will have no choice unless the crisis ends within a few more weeks which is very unlikely.
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ILS27LEFT;
Whilst your passion & energy is to be admired, I don’t unfortunately get the feeling that the UK Government share your view. It may be that they are overwhelmed by the enormity of the task ahead as all sectors / industries start to buckle under the pressure of this crisis.I think it’s easy for us involved in aviation to focus solely on it. I hope I’m wrong but I don’t expect any UK Government support beyond what’s already in place sadly.
Whilst your passion & energy is to be admired, I don’t unfortunately get the feeling that the UK Government share your view. It may be that they are overwhelmed by the enormity of the task ahead as all sectors / industries start to buckle under the pressure of this crisis.I think it’s easy for us involved in aviation to focus solely on it. I hope I’m wrong but I don’t expect any UK Government support beyond what’s already in place sadly.
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Very interesting reading. See the second link for legal detail.
https://commonslibrary.parliament.uk...om-redundancy/
https://www.matrixlaw.co.uk/wp-conte...l-Hutcheon.pdf
I think I'd want Darryl Hutcheon representing me.
https://commonslibrary.parliament.uk...om-redundancy/
https://www.matrixlaw.co.uk/wp-conte...l-Hutcheon.pdf
I think I'd want Darryl Hutcheon representing me.
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Redundancies during JRS
Very interesting reading. See the second link for legal detail.
https://commonslibrary.parliament.uk...om-redundancy/
https://www.matrixlaw.co.uk/wp-conte...l-Hutcheon.pdf
I think I'd want Darryl Hutcheon representing me.
https://commonslibrary.parliament.uk...om-redundancy/
https://www.matrixlaw.co.uk/wp-conte...l-Hutcheon.pdf
I think I'd want Darryl Hutcheon representing me.
The intention of the legislator will influence a Judge final decision. The intention of the legislator re. CJRS is clearly and undoubtedly "to avoid redundancies".
In this respect unfair dismissal would be the outcome.
The biggest challenge is not only the legal one for BA but the moral significance vs employees & tax payers/Gov: no employer should make redundancies if CJRS is available as this is free money with nil cost to the employer.
BA can legally announce redundancies however BA cannot proceed if CJRS still in place by date of 1st redundancy.
If BA will decide to proceed will clearly be "unfair dismissal". This will cause immense damage to the brand and workforce at a much higher cost than the 12K salaries combined.
Suicidal business approach by BA if they will proceed with the 12K redundancies whilst CJRS still in place at nil cost to BA.
"Darryl Hutcheon, a barrister at Matrix Chambers, argues that while each case will ultimately turn on its facts, employees who are dismissed without being given the option of furlough would likely have a “powerful argument” for unfair dismissal. "
The CJRS has been extended until end of October and very likely the Aviation sector will be covered until then under the existing conditions.
BA therefore will be "unfairly dismissing" employees if redundancies are confirmed whilst CJRS scheme is still available.
BA can action redundancies from 01 Nov but only if CJRS will not be extended again for the sector.
Next extensions will very likely be sectorised.
Last edited by ILS27LEFT; 14th May 2020 at 11:56.
(Well we know in the case of Alitalia and Air France financial reality doesn’t apply but any funding there is to continue to provide services to their individual country not a blank cheque to bankroll a mass expansion push to start fifth freedoming out of Heathrow and presumably other European Capitals. There’s also any number of reasons why the U.K. Government wouldn’t want that situation occurring).
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BA can legally announce redundancies however BA cannot proceed if CJRS still in place by date of 1st redundancy.
If BA will decide to proceed will clearly be "unfair dismissal". Immense damage to the brand and workforce. Much higher cost than the 12K salaries combined! Suicidal approach by BA if they will proceed with the 12K redundancies.
"Darryl Hutcheon, a barrister at Matrix Chambers, argues that while each case will ultimately turn on its facts, employees who are dismissed without being given the option of furlough would likely have a “powerful argument” for unfair dismissal. "
The CJRS has been extended until end of October and very likely the Aviation sector will be covered until then under the existing conditions.
BA therefore will be "unfairly dismissing" employees if redundancies are confirmed whilst CJRS scheme still available.
If BA will decide to proceed will clearly be "unfair dismissal". Immense damage to the brand and workforce. Much higher cost than the 12K salaries combined! Suicidal approach by BA if they will proceed with the 12K redundancies.
"Darryl Hutcheon, a barrister at Matrix Chambers, argues that while each case will ultimately turn on its facts, employees who are dismissed without being given the option of furlough would likely have a “powerful argument” for unfair dismissal. "
The CJRS has been extended until end of October and very likely the Aviation sector will be covered until then under the existing conditions.
BA therefore will be "unfairly dismissing" employees if redundancies are confirmed whilst CJRS scheme still available.
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The BA Legal Team is playing an extremely dangerous game here. A game much more expensive than the savings achieved through redundancies + new T&Cs.
Maybe they thought to be above the Law and above the Gov during this Crisis.
This Crisis is actually showing the good CEOs vs the bad CEOs, the good leaders vs the bad ones.
If we will see WW postponing his retirement again beyond Sep then we know this is personal to him.
BA should belong to the thousands of men & women who made it great and profitable over the years. Employees should also be shareholders by contract. If BA employees were shareholders I doubt Alex Cruz and WW would still be in charge now.
We better stop here.
Last edited by ILS27LEFT; 14th May 2020 at 12:26.
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This is exactly why redundancies whilst CJRS will still be available are "illegal" as I explained many times before.
The intention of the legislator will influence a Judge final decision. The intention of the legislator re. CJRS is clearly and undoubtedly "to avoid redundancies".
In this respect unfair dismissal would be the outcome.
The biggest challenge is not only the legal one for BA but the moral significance vs employees & tax payers/Gov: no employer should make redundancies if CJRS is available as this is free money with nil cost to the employer.
BA can legally announce redundancies however BA cannot proceed if CJRS still in place by date of 1st redundancy.
If BA will decide to proceed will clearly be "unfair dismissal". This will cause immense damage to the brand and workforce at a much higher cost than the 12K salaries combined.
Suicidal business approach by BA if they will proceed with the 12K redundancies whilst CJRS still in place at nil cost to BA.
"Darryl Hutcheon, a barrister at Matrix Chambers, argues that while each case will ultimately turn on its facts, employees who are dismissed without being given the option of furlough would likely have a “powerful argument” for unfair dismissal. "
The CJRS has been extended until end of October and very likely the Aviation sector will be covered until then under the existing conditions.
BA therefore will be "unfairly dismissing" employees if redundancies are confirmed whilst CJRS scheme is still available.
BA can action redundancies from 01 Nov but only if CJRS will not be extended again for the sector.
Next extensions will very likely be sectorised.
The intention of the legislator will influence a Judge final decision. The intention of the legislator re. CJRS is clearly and undoubtedly "to avoid redundancies".
In this respect unfair dismissal would be the outcome.
The biggest challenge is not only the legal one for BA but the moral significance vs employees & tax payers/Gov: no employer should make redundancies if CJRS is available as this is free money with nil cost to the employer.
BA can legally announce redundancies however BA cannot proceed if CJRS still in place by date of 1st redundancy.
If BA will decide to proceed will clearly be "unfair dismissal". This will cause immense damage to the brand and workforce at a much higher cost than the 12K salaries combined.
Suicidal business approach by BA if they will proceed with the 12K redundancies whilst CJRS still in place at nil cost to BA.
"Darryl Hutcheon, a barrister at Matrix Chambers, argues that while each case will ultimately turn on its facts, employees who are dismissed without being given the option of furlough would likely have a “powerful argument” for unfair dismissal. "
The CJRS has been extended until end of October and very likely the Aviation sector will be covered until then under the existing conditions.
BA therefore will be "unfairly dismissing" employees if redundancies are confirmed whilst CJRS scheme is still available.
BA can action redundancies from 01 Nov but only if CJRS will not be extended again for the sector.
Next extensions will very likely be sectorised.
BA's already made use of CJRS, the opinion focuses on use of CJRS rather than it's continued use when it becomes clear that the business won't recover, or will take a long time to recover post Covid and so need less staff
"Relevant factors would naturally include the size and resources of the employer, the employee’s responses to the consultation and to any proposed “furlough agreement”, and the suddenness and seriousness of the downturn which Coronavirus has caused for the business"
Airlines / travel sector have suffered a catastrophic collapse in demand that's going to continue for quite a while post lockdowns and so are going to need less staff.
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If BA can make redundancies currently in its Cityflyer subsidiary I doubt that there will be much legally stopping them doing the same to mainline. The best the staff might get is that the threat of legal action, even if rather futile in the end, may make the company improve the redundancy terms. I dont see any airline coming out of this crisis with the same amount of staffing as they went in with - there are going to be many colleagues out of work for a long time.
If BA can make redundancies currently in its Cityflyer subsidiary I doubt that there will be much legally stopping them doing the same to mainline. The best the staff might get is that the threat of legal action, even if rather futile in the end, may make the company improve the redundancy terms. I dont see any airline coming out of this crisis with the same amount of staffing as they went in with - there are going to be many colleagues out of work for a long time.
I have an uncle who lives in the North East and has been unemployed for around 25 years. He is fit, healthy and not stupid, but my god he is stubborn. He was a miner, and lost his job when the pits closed. He could do all manner of things, but he won’t. ‘He is a miner, and there is no work in mining, so he cannot work’. And that is that. He refuses to accept his chosen vocation is no longer an option, and so he festers.
It will be a bitter pill to swallow, but aviation has just changed. The definition of change is a permanent altering of state. This is happening now and will continue to do so for an unknown period of time. When the rate of change stabilizes and we all take stock, we will look upon a different industry. The one we knew has gone, it is dead, and by definition will never come back as it was.
The new reality for civil aviation will probably be a much smaller industry, salaries will be lower and the work/life balance will be worse (all my opinion - not fact). Market forces will see to this.
People can accept this change and try to stay in the industry, or they can moan and whine about what they have lost, or they can re-invent themselves and succeed elsewhere.
I have spent my life in aviation, and it is full of smart, honest and resourceful people. I very much doubt they will find themselves out of work for long, unless they choose to.
On the other hand; when practically the whole country is out of work in a depression the likes of which the world has never seen before, what are the chances of a few thousand ex airline staff picking up any kind of work ?
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