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BA staff reject cost-cutting plan BA staff reject cost-cutting plan
(10 minutes later)
A mass meeting of more than 2,000 British Airways workers has rejected the airline's plans to reduce costs by cutting jobs and freezing pay.A mass meeting of more than 2,000 British Airways workers has rejected the airline's plans to reduce costs by cutting jobs and freezing pay.
Staff said they were not prepared to accept an "assault" on their pay, terms and conditions.Staff said they were not prepared to accept an "assault" on their pay, terms and conditions.
Conciliation service Acas will chair a meeting between BA and unions on Wednesday to try to reach an agreement.Conciliation service Acas will chair a meeting between BA and unions on Wednesday to try to reach an agreement.
BA has been striving to cut costs in the recession. In May, the airline reported a record annual loss of £401m.BA has been striving to cut costs in the recession. In May, the airline reported a record annual loss of £401m.
The airline had set a deadline of 30 June to reach a deal on about 3,500 job cuts, a pay freeze and other changes, but no agreement was made.The airline had set a deadline of 30 June to reach a deal on about 3,500 job cuts, a pay freeze and other changes, but no agreement was made.
At the meeting, workers rejected BA's proposals and instead backed a union plan, which officials said could save between £100m and £130m.At the meeting, workers rejected BA's proposals and instead backed a union plan, which officials said could save between £100m and £130m.
Cutting costsCutting costs
The union Unite said it was prepared to consider a two-year freeze on pay.The union Unite said it was prepared to consider a two-year freeze on pay.
Unite claimed BA wanted to introduce a new "starter rate" of £11,000, but said this would lead to a two-tier workforce.Unite claimed BA wanted to introduce a new "starter rate" of £11,000, but said this would lead to a two-tier workforce.
Last month, BA said 800 workers had volunteered to work for nothing for up to a month.Last month, BA said 800 workers had volunteered to work for nothing for up to a month.
The airline had written to its 40,000 staff in the UK, asking for volunteers to work for nothing to help make savings.The airline had written to its 40,000 staff in the UK, asking for volunteers to work for nothing to help make savings.
BA chief Willie Walsh has already agreed to work unpaid in July, forgoing his month's salary of £61,000.BA chief Willie Walsh has already agreed to work unpaid in July, forgoing his month's salary of £61,000.

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