News

BA streamlining reacts to losses


BRITISHAirways is streamlining its worldwide passenger business and cargo divisions, which account for 12,000 staff, following increasing pressure on margins.



The airline’s four divisions – UK regions/ Middle East/Africa, Asia Pacific, Americas and Europe – are being replaced by just two.



The newly named short-haul and long-haul divisions will focus heavily on improving revenues. The long-haul division will be split into east and west sections to give added regional sales emphasis.



BA refused to comment on any redundancies, either in the UK or worldwide, resulting from the rationalisation.



However, staff will fear job cuts as BA’s Oneworld partners – American Airlines, Qantas, Cathay Pacific, Canadian Airlines, Iberia and Finnair – are expected to take over some of the airline’s operations overseas.



BA made the global changes in response to the ú75m loss it made in the last quarter of 1998. It blamed tough worldwide trading conditions for the deficit.



Staff were due to be told details of the restructuring yesterday.


Share article

View Comments

Jacobs Media is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.