British Airways is a “cash cow” for its owner which has netted nearly £1.2billion over the past two years, a union claims.
Analysis of the airline’s finances was commissioned by Unite for its battle against the axing of up to 12,000 workers and changes to contracts.
Its campaign – launched by projecting “Stop Betraying Britain” on the side of the Houses of Parliament – claims BA plans to fire a quarter of its workforce before rehiring them on reduced pay and worse terms.
Unite said its findings show BA “can weather the impact” of Covid-19.
The airline’s revenues leapt from just under £8bn in 2010 to £13.3bn in 2019, when it made £1.9bn in profits.
According to the research, over the past two years BA has paid almost £1.2bn in dividends to owner International Airlines Group, a Spanish-registered company with its HQ in the UK.
BA accounted for two-thirds of group profits last year at IAG, which also owns Spanish airline Iberia.
Unite General Secretary Len McCluskey said: “BA and owners IAG can afford to see out this crisis without such drastic cuts. This is a company with a lot of cash, strong assets and sustainable debt. This is a cash grab orchestrated in Spain.”
BA says the proposed job losses are due to a coronavirus-triggered slump. Chief executive Alex Cruz hit back at those “suggesting we have enough cash to sit this out” in a letter to staff.
MPs slammed the airline this week, with calls for it to lose lucrative Heathrow slots.
BA was reportedly refusing to meet Home Secretary Priti Patel and Aviation Minister Kelly Tolhurst yesterday to discuss quarantine rules.
