Ryanair cabin crew take up to 10pc pay cuts to save jobs
RYANAIR has reached a deal with cabin crew that will mean no job losses at the low-cost carrier, according to union bosses.
Unite praised the airline’s “constructive” approach that will mean cabin staff take pay cuts for at least three years in return for saving jobs.
The move is in contrast to British Airways, which wants to axe 12,000 of its entire staff – almost a quarter of the workforce. Ryanair had warned in
May that 3,000 positions could go as it faced a collapse in air travel because of coronavirus.
Last week the airline reported that passenger numbers for June were down 97pc to just 400,000.
It has already agreed a deal with pilots for a 20pc pay cut lasting for years.
Under the terms of the cabin crew deal revealed by Unite, staff will take a temporary pay cut of 5pc for the lowest paid, 7.5pc for others, and 10pc for the highest paid. Pay will return to previous levels in two tranches in 2023 and 2024.
If air travel returns to pre-pandemic levels faster, then wages could be increased sooner.
Unite said its members had voted to back the reductions to save jobs.
Diana Holland, of Unite, said: “The agreement with Ryanair shows that the company has taken a more constructive and less damaging approach to dealing with the issues than many of its competitor airlines.”
The union added that because the reductions were “temporary and tiered” they won support from staff.
Ryanair’s latest news was in contrast to that from United Airlines in the US, which warned 36,000 staff, some 45pc of its workforce, that they are in danger of losing their jobs. The airline told staff their positions will be at risk when US job retention schemes run out at the end of September.
Numbers have not been finalised but the planned furloughs include 15,000 flight attendants, 11,000 customer service staff and 5,500 maintenance employees. A further 3,700 workers have taken voluntary redundancy packages.
America’s aviation industry has so far been given $25bn (£20bn) in payroll support to protect jobs and had $25bn of loans made available.
Last week, American Airlines said it would have to furlough more than 20,000 staff, following on from Delta Air Lines, which said it could furlough 2,600 pilots and asked almost three times as many to take early retirement.
Diana Holland, of Unite, said that because reductions were temporary and tiered they won support from staff