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Trade spared by British Airways

THE
trade has emerged unscathed from British Airways’ latest two-year business
plan, with no more plans for distribution cost cuts.

As
expected, the airline has focused on headcount reduction for the next two
years, setting a £300 million staff cost reduction target for the period.

Distribution
costs were a key component of the airline’s previous business plan – Future
Size and Shape.

A
spokeswoman said: “We are still working on reducing distribution costs
with our deals with Galileo and Sabre and moving towards 100% e-ticketing, but
there is nothing major included in the plan.”

Although
no figure has been put on the expected job losses, it is believed the carrier
has set a limit at 4,000. It has already shed 13,000 jobs as part of the Future
Size and Shape programme launched in February 2002.

 

 

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