Unions to question Walsh over BA jobs future

Union leaders will question new British Airways boss Willie Walsh over the future of thousands of jobs after he announced there were “further opportunities” for efficiencies, it was revealed today.

The former Aer Lingus chief said efficiencies were needed to help the airline’s finances and to allow the company to invest.

He will be overseeing BA’s move into the long-awaited new Terminal 5 at Heathrow which will be operational in 2008 and which will necessitate major changes in BA’s working practices.

Speaking on his first working day since taking over from Sir Rod Eddington, Mr Walsh said: “We have made tremendous progress in the last five years, but I’ve been very impressed by the fact that everyone I’ve met at British Airways believes there is room for further improvement.

“Terminal 5 gives us a once-in-a-lifetime opportunity to provide a world-class service for customers and to work with the unions in a way that is relevant to the 21st century. We will address working practices in a structured way.

“There are further opportunities for efficiencies all across the airline which we will need to deliver to ensure our financial viability and to allow us to invest in the future.”

Unions made no official comment today, but officials are set to meet Mr Walsh soon and will seek assurances about jobs.

Mr Walsh earned a reputation at Aer Lingus of being a cost cutter, and unions are eager to hear what his strategy is for the future of BA.

Reports that thousands of jobs will be axed when Terminal 5 opens were described as “speculation” by the airline.

Mr Walsh started his new job as BA continued to recover from the damaging Gate Gourmet catering workers dispute, which saw flights grounded and 100,000 passengers suffering travel chaos at the height of the summer.

The row was sparked by the sacking of 670 mainly Asian women workers by Gate Gourmet and an unofficial walkout by BA’s baggage handlers.

The dispute, which was resolved last week, cost BA an estimated €60m.