British Airways (BA.L) on Tuesday announced plans to cut 1,700 full-time cabin crew jobs and enforce a two-year pay freeze on the basic pay of cabin crew as a part of its efforts to reduce losses incurred due to the ongoing global economic downturn.
"British Airways is currently not profitable and we expect to record a significant loss for the second consecutive year - the first time that has happened in our history. Revenues are down, so we must reduce costs and restore profitability," BA said in a statement, "Without changes, we will continue to lose more money with every month that passes. It is essential we make ourselves more efficient if we are to ensure our long-term survival."
The airline said that the decision to cut 1,700 cabin crew jobs was taken after some 1,000 flight attenders requested voluntary redundancy and a further 3,000 expressed desire to shift to part-time jobs.
"About 1,000 members of cabin crew would like to take voluntary redundancy and a further 3,000 would like to switch to part-time working. To facilitate these requests (which represent 1,700 manpower equivalent positions in total), we must make changes to the way crew work," BA said.
The move reduces the current number of cabin crew employed by the airline to 12,300 from the current strength of 14,000. The airline said that posts being cut involved those who managed the cabin crew, indicating that it will not affect customer services on flights.
The airline said that they have held consultations on the proposed changes, and that it was not altering anything that required negotiations with the unions. The changes are expected to take place from end November.
BA also confirmed plans to enforce a two-year pay freeze on the basic pay of cabin crew, but added that further talks would be held with unions on the wages issue. The airline also announced that it would proceed with plans to recruit new employees on new terms and conditions, different from those offered to the current employees.
The embattled airline was engaged in talks with the unions since the beginning of the year regarding pay cuts and working practices of the cabin crew. The company, however, did not mention anything about Tuesday's announcement during talks it had with representatives of cabin crew unions last week. The two sides are due to meet for talks next week.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.