BA has been in the news … again and, as usual, for all the wrong reasons. The company formerly claiming to be the world’s favourite airline has now asked 40,000 of its staff to not just take a pay cut but to work for nothing for a month to ensure the company’s survival. Now there’s an enticing offer … not.
Employment Law Explained
Tag Archives: pay cut
More on Redundancy v Pay Cuts
I posted on this subject a while ago and it has received such a lot of visits I thought I better give my public more of what they want. It also gives me an opportunity to provide an update on the poll I set up below on this issue. At the moment 57% of respondents would elect a pay cut and 31% would take redundancy. The remaining 11% didn’t know. Whether those results will change after this post wil be interesting to see.
Redundancy or Pay Cut? Poll Results
I’ve been running a poll on the above topic since my post on the 27th February. Two weeks on and the results seem remarkably balanced – 38% in favour of a redundancy package and 38% in favour of a pay cut, with 23% undecided. I was expecting the clear winner to be the pay cut, given the difficulty in getting a new job at the moment. I’ll keep the poll running and see if the result changes over time.
Thanks to all those who took part.
Redundancy or Pay Cut?
Not an enviable choice to be faced with, but one that an increasing number of people seem to be having to make, or have foisted upon them, in industry. It is a practice that doesn’t seem to have caught on here in the City where swingeing headcount cuts still rule supreme when an employer wants to cut costs. I’ve written many times in this blog before about the redundancy process and selection criteria and the claims that can arise when employers get it wrong. However, what must an employer do if they decide that a pay reduction is preferable to a cull?