Recent problems with the new T5 Terminal at Heathrow have resulted in more problems for BA when will they recover their No1 position.

UPDATE: British Airways Cabin Crew Vote To Strike





(Adds detail and comment.)

By Kaveri Niththyananthan

Of DOW JONES NEWSWIRES

LONDON -(Dow Jones)- British Airways PLC's (BAY.LN) cabin crew Monday voted to strike over the busy Christmas period, threatening massive disruption for hundreds of thousands of passengers.

A 12-day strike is due to begin Dec. 22, trade union Unite said, after 92.5% of workers who voted in a ballot supported industrial action. The union said it remained open to negotiations, but only if BA reverses changes to working practices that it already has imposed.

It said it didn't rule out further action.

British Airways in a statement said it was extremely disappointed by the decision, which it said shows a lack of concern for its customers, its business and other employees.

"A 12-day strike would be completely unjustified and a huge over-reaction to the modest changes we have announced for cabin crew which are intended to help us recover from record financial losses," it said.

If a strike goes ahead, it will be the first BA has had since Chief Executive Willie Walsh took charge in May 2005.

The carrier and unions have clashed over BA's plans to restructure and adjust working practices in an effort to return the company to profitability after posting a GBP292 million loss for the six months to Sept. 30.

Strikes are dangerous for airlines because not only are disruptions expensive but they can put off passengers from flying with strike-hit carriers again.

Airlines globally have been badly hit by the economic downturn as passengers traded down to cheaper economy tickets or refrained from travel altogether. Most airlines have swung to a loss this year, while others have gone out of business. The International Air Transport Association forecasts the industry will make an $11 billion loss this year.

BA in particular has been hard hit because of its dependence on lucrative premium traffic across the Atlantic, which has fallen in the wake of the financial crisis and economic downturn. Analysts expect BA to make a GBP800 million pretax loss for the fiscal year ending March 2010, compared with a loss of GBP401 million in the previous fiscal year.

After making no progress on talks that dragged on for nine months, BA introduced cabin crew changes Nov. 16 at London's Heathrow Airport--reducing onboard personnel to 14 from 15--after the U.K. High Court dismissed an injunction application by unions. Instead, the two sides agreed to meet in court Feb. 1 to decide whether the changes are contractual or not.

BA insists changes allow the airline to accept more than 1,000 voluntary redundancies among cabin crew and allow 3,000 to shift to part-time work. BA employs 13,500 cabin crew, of whom 11,500 work at Heathrow. Approximately 9,000 work on long-haul routes. It aims to shed 4,900 positions during the fiscal year ending March 31, of which 3,700 will be in the U.K. BA employs about 38,700 workers.

"This is a double disaster for British Airways," said Bob Atkinson, travel expert from travelsupermarket.com. "Its customers are now going to be significantly affected and the airline will take a financial hit from the action."

At 1527 GMT, BA's shares traded down a penny, or 0.5%, at 200 pence, while the benchmark FTSE 100 index traded up 1%.

Where is the bottom for the sp?

Well I'm short again!

skinny what is your target sp?

180 would be nice, but the chart is a bit accademic with the strike looming.

Halifaxhave you heard of the Gorges du Verdon.I think the clues are there?

Just closed my short +5

A strike by British Airways cabin crew planned for Christmas has been declared illegal in a High Court ruling.

The court agreed with BA that the cabin crew's union, Unite, had not correctly balloted its members on the strike action.

BA complained that staff in the process of leaving the company had been balloted, breaching industrial relations law.

The 12-day strike was due to begin on 22 December.

Skinnywill this not make the working relationship a lot worse at BA?were there is a willtheres a wayand all that.. just a thought

tabbie - probably yes - but it was a short term punt - I'll be back :-)

BA strike 'gets strong backing'

British Airways passengers face fresh strikes after cabin crew gave "substantial" backing in a ballot for industrial action, the BBC has learnt.

About 12,000 members of the Unite union have been voting on whether to take action in a row over jobs, pay and working conditions.

and as with the miners, they'll get their just deserts in due course
willy walsh may not be the greatest man-manager, but in this instance he's absolutely right ..... BA staff get best pay and conditions of anyone, and in today's climate, this is unaffordable ..... that BA are well renamed as Bloody Awful is irrelevant

good rise

British Airways strike dates to be considered by union

Union leaders representing British Airways cabin crew will meet later to decide whether to call strike dates.

It comes after talks between BA and the Unite union aimed at averting strike action broke down without agreement.

if sp drops back quite sharply, then worth considering a buy.

on a different level, while i have some sympathy with the staff for having their cushy contracts brought back to reality, my vote goes to willy walsh for standing up to the unions and forcing a bit of reality onto them

my vote goes to willy walsh for standing up to the unions and forcing a bit of reality onto them

Cynicgood old Willie paid himself a 6% pay risetaking his salary to mland could also gain 1.1 million in deferred share bonusesas BA lost 400 ml last yearit would be reasonable to conclude that negotiating pay cuts for his staff is a little perplexing for themmost will hope that little Willy ends up a stiff?

British Airways union announces strike dates

The union representing British Airways cabin crew has said its members will go on strike for three days from 20 March and for four days from 27 March.

frankly, i don't care how much WW pays himself ..... to my mind, BA staff are significantly overpaid relative to the rest of the industry, and while i too would squawk loudly if my pay was cut, there is the old saying that if you don't like it, then vote with your feet ...... going on strike doesn't count!

Cynicyou are one funny git!

Interesting scenario taking place at BA.Gordon Brown has condemned the strikethe strike is being led by the union that bankrolls LabourBA future was already uncertain after its recant huge losesand Willie Walsh is as confident as a man holding a Royal Flush while losing 40% passengers to other Airlinessomething stinksmethinks?could Brown have met Willy secretly in the toiletand told him those Jumbos are too big to fail?Unite has offered to suspend the strikes due to begin on Saturday if BA resubmits a peace offerWilly has declined to reinstate the offerwhy?

because, quite rightly, ww sees the unions as a menace to putting the airline on a profitable footing .... ww's gamble is that BA will recoup any passenger losses once this union has been kicked hard enough in the balls and the staff accept a realistic pay structure.