Ryanair cabin crew take up to 10pc pay cuts to save jobs

The Daily Telegraph - Business - - Business - By Alan Tovey

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

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