7,000 BA staff volunteer for pay reductions

In a move that could be seen as impeccable corporate loyalty or darker insecurity, more than 7,000 British Airways staff have applied for voluntary pay cuts, including 800 employees who will work for nothing for up to a month. The airline said that 6,940 of its employees – around 17 per cent of its workforce – had volunteered for unpaid work, part-time hours or unpaid leave, while more than 800 matched a promise by the airline's CEO, Willie Walsh, to work without receiving a pay cheque next month.

Mr Walsh described the move, which will save up to £10m, as a "fantastic first response". "I want to thank everyone who has volunteered to help us pull through this difficult period. This response clearly shows the significant difference individuals can make."

The airline has been looking to slash costs as part of its survival plan after unveiling an annual loss of £400m. Around 2,500 jobs have been cut since summer and the airline wants to shed another 3,000 posts across its business. Staff were offered options that included volunteering for between one and four weeks' unpaid leave or unpaid work, with the pay deduction spread over three or six months. Unpaid leave was the most popular option among staff who agreed to accept a pay cut, with 4,000 asking for a break without pay, lasting from a week to several months. A further 1,400 will switch to part-time hours, either permanently or temporarily.

However, BA's largest union condemned the offer, accusing the airline's managers of bullying staff into signing up. Unite, which represents about 28,000 of BA's 40,000 employees, claimed that staff were pressurised by email to accept one of the options or face a meeting with a BA manager. Mick Rix, national officer of the GMB union, said staff had been influenced by the "scaremongering tactics" of the company.

BA said "absolutely no pressure" was put on staff to volunteer for a pay cut and rejected claims of bullying and intimidation. The airline plans to launch the programme again later this year, targeting the 33,000 staff members who did not respond before the 24 June deadline for the first round of voluntary salary reductions.