BA’s takeover of Bmi to result in “up to 1,200 redundancies”
Published: 12/04/2012 - Filed under: News »
British Airways has opened a consultation with unions for full integration of the airline into BA’s operations at Heathrow, admitting that the deal could result in up to 1,200 job losses.
The carrier says that Bmi is losing £3 million per week, and says that without its acquisition of Bmi, which was given approval by the European Commission last month, the airline was “facing closure with the potential loss of all 2,700 UK based jobs”.
BA says its consultation proposes “the full integration of Bmi mainline into British Airways securing approximately 1,500 jobs”, but warns that it could result in up to 1,200 redundancies.
Around 1,100 Bmi cabin crew, pilots and engineers would be transferred to British Airways, and up to 400 passenger service jobs would be secured at Heathrow T1. The majority of redundancies would come from roles based at Bmi’s head office at Castle Donnington, and at regional airports.
BA said the consultation “will seek to reduce the number and mitigate the impact of the proposed redundancies, including the potential to offer vacancies within British Airways at Heathrow”, and added that it was looking at “potential job opportunities with industry partners in the Midlands, such as Rolls-Royce”, as well as potential jobs at its engineering facility in Glasgow from January 2014.
CEO Keith Williams said that “job losses are deeply regrettable but inevitable”, adding that “This deal is good news for our customers and will offer new destinations, new routes and new schedules in due course”.
The European Commission approved BA’s purchase of Bmi in late March, subject to several conditions including the relinquishing of 14 pairs of slots at Heathrow (see online news March 30). The deal is expected to be completed by April 20.
For more information visit ba.com.
Report by Mark Caswell
MrSeanToo - 12/04/2012 15:08
So sad to hear the possibility of job losses, not what anyone wants to hear. I was a regular flyer with BMI from Belfast to LHR but I'm sad to say since I've heard of the takeover by BA I need to think of alternatives. There always appears to be a strike around the corner with BA, or that's the opinion I have developed, and from the looks of things there could be trouble again.
SmythyH - 12/04/2012 17:10
I travel regularly BHD/LHR, and an age to remember the pull-out of BA from the BFS/LHR route, then we were left in the lurch by BA, therefore my confidence in BA maintaining any BMI Regional Air service would be very low . After BA's pull-out, BMI came into the LHR route and have been excellent in their support to this part of the UK, my fear is that BA will once again be quick to withdraw the LHR/BHD service, due to the presence of Aer Lingus (One World) servicing the BFS/LHR route. I can sadly see withdrawal of many UK Regional Air Services currently provided by BMI, due to BA loosing interest in the short-haul market.
theworldtraveller - 13/04/2012 22:36
Bmi was a business model that is not working, at least there are 1100+ jobs are being saved. Recessions are good in the respect they weed out poor businesses and stop the distortion of competition (ie unrealistically cheap fares).
There will be those that don't like the above comments, but that is the real world I am afraid - farewell to bmi but the world will not be a poorer place without it
Kennedy1 - 20/04/2012 17:43
Aer Lingus is no longer part of One World.
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