Heathrow “to slash staff pay by up…

Heathrow “to slash staff pay by up to a third” becoming a “low cost employer”after collapse in air travel 
2020-08-16 07:54:00
Heathrow staff are being asked to accept pay cuts of up to 37% and will lose their final salary pension scheme. It will also end paid breaks and allowances, worsen redundancy terms, and refuse to honour a pay rise. The airport wants to slash pay and conditions for its 7,000 workers in a bid to become a low-cost employer, according to union chiefs – an allegation denied by management. Air travel demand is currently low, (88% lower in July 2020 than in July 2019) and not expected to rise much in the short term. The aviation sector cannot afford to pay so many staff, when it has little income. Heathrow said it has been forced to take action now to protect jobs. But the union Unite (which has always been an enthusiastic backer of Heathrow and its expansion plans) has told its members that the airport is acting out of “greed, not need” and said it was using the pandemic as a smokescreen to cut pay and conditions. It added that Heathrow paid £100m in dividends in April. Unite says John Holland-Kaye told unions that he wanted to make the business a “low-cost employer” during a meeting on July 30th. Many staff working around Heathrow are not directly employed by the airport, but associated businesses. There could be over 20,000 job losses in these companies. .Tweet   Heathrow ‘to slash staff pay by up to a third’ after collapse in air travel The airport says it has to reduce pay and perks to save jobs as coronavirus prevents people from flying By Alan Tovey, INDUSTRY EDITOR (The Telegraph) 12 August 2020  Heathrow staff are being asked to swallow pay cuts of up to 37pc and will lose their final salary pension scheme as the airport grapples with a plunge in global travel, unions have claimed. The company is seeking to slash pay and conditions for its 7,000 workers in a bid to become a low-cost employer, according to union chiefs – an allegation denied by management. A row has broken out between the two sides amid negotiations over changes to staff contracts. Heathrow says these are vital to avoid job cuts, as the airport nurses coronavirus losses of £1bn and rising. Heathrow – whose owners include Spanish company Ferrovial, the Qatar wealth fund, and China Investment Corp – earlier this week reported an 88pc collapse in passengers in July compared to last year. Around 60pc of its routes are still grounded as the air travel industry reels from the impact of Covid-19. But in a letter to members, union Unite accused the business of acting out of “greed, not need” and said it was using the pandemic as a smokescreen to cut pay and conditions. It added that Heathrow paid £100m in dividends in April. Heathrow boss John Holland-Kaye told unions that he wanted to make the business a “low-cost employer” during a meeting on July 30, it is claimed. Unite accused the firm of planning to cut pay by up to 37pc, close its lucrative final-salary pension scheme, axe paid breaks and allowances, worsen redundancy terms, and refuse to honour a pay rise. Wayne King, Unite regional co-ordinating officer, said: “Heathrow is cynically using Covid-19 to bounce workers into accepting drastic attacks on their pay in order to boost  profits.” Heathrow hit back at the allegations, saying they are completely false and have been taken out of context. A spokesman added: “The airport’s intent w

READ MORE

Leave a Reply

Keeping ahead of COVID-19

This rapidly evolving corona virus (COVID-19) has imposed an unsettling situation upon our community and its businesses. While we are maintaining to operate a "business as usual" approach, we are taking a number of changes to help protect both you as customers and us as drivers during these difficult times.

All of our vehicles are sanitised before and after each journey / dividing screens fitted to separate the rear of the vehicle.

We also offer delivery services for local businesses to help get essential items to local customers as well as across the UK.

More Info on Delivery Services