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| BA to cut 1,200 jobs amid losses | |
| (30 minutes later) | |
| British Airways says it plans to cut a further 1,200 jobs after reporting a first-half loss for the first time. | |
| The job loss announcement means the airline will have shed a total of 4,900 positions by March 2010. | |
| The company suffered a loss before tax of £292m ($485m) for the six months to the end of September, compared with profits of £52m a year earlier. | |
| The first half of BA's financial year is usually its strongest because it covers the summer holiday season. | |
| BA said revenue over the six-month period was down 13.7%. | BA said revenue over the six-month period was down 13.7%. |
| "Aviation remains in recession with revenue likely to be £1bn lower this year," said BA chief executive Willie Walsh. | |
| He told the BBC that this had been the "most difficult year in the history of the aviation industry". | He told the BBC that this had been the "most difficult year in the history of the aviation industry". |
| "All airlines are facing the same pressure. Operational changes at British Airways are absolutely necessary to improve the performance of the business," he said. | |
| BA has already achieved 1,900 global job reductions by natural wastage, voluntary redundancies and reduced overtime. | |
| 'Fragility' | 'Fragility' |
| BA is currently in a battle with unions over changes to jobs and pay. It wants to cut the number of cabin crew staff on its long-haul flights from 15 to 14, with the change coming into effect on 16 November. | BA is currently in a battle with unions over changes to jobs and pay. It wants to cut the number of cabin crew staff on its long-haul flights from 15 to 14, with the change coming into effect on 16 November. |
| The company is also proposing a two-year pay freeze. It says the changes are essential to its survival. | The company is also proposing a two-year pay freeze. It says the changes are essential to its survival. |
| On Thursday, the Unite union said it would continue with a strike ballot of British Airways cabin staff over the changes, despite its legal challenge to the new working patterns being delayed. | On Thursday, the Unite union said it would continue with a strike ballot of British Airways cabin staff over the changes, despite its legal challenge to the new working patterns being delayed. |
| Unite had sought a High Court injunction to have the changes blocked, but the full trial will now not go ahead until 1 February. | Unite had sought a High Court injunction to have the changes blocked, but the full trial will now not go ahead until 1 February. |
| Unite said staff would "unwillingly" work the new schedules from this month but it would still ballot for a strike. The result of the strike vote will be known on 14 December. | |
| Analysts said the latest figures could be used as ammunition by the union. | Analysts said the latest figures could be used as ammunition by the union. |
| "These weak results will underscore their fragility to unions opposed to wholesale restructuring that is required if BA aims to survive this downturn," said Saj Ahmad from Gerson Lehrman Group. | "These weak results will underscore their fragility to unions opposed to wholesale restructuring that is required if BA aims to survive this downturn," said Saj Ahmad from Gerson Lehrman Group. |