Branson plan to cut pay ‘below minimum’
Air stewards threaten Easter strike as they claim that ‘unfair’ package will make them worse off
Sir Richard Branson is planning to cut air stewards’ pay below the minimum wage, whistle-blowers claim, as they threaten strike action over Easter. In cuts branded “unfair” by staff, Virgin Atlantic air stewards’ base salaries will increase marginally while allowance benefits, which make up a third of their pay, will be halved. Angry staff say that under the plans they would have to dip into their own pockets to pay for food and drinks at the “plush” hotels booked by the company.
SIR RICHARD BRANSON is planning to cut air stewards’ pay below the minimum wage, whistle-blowers claim, as they threaten strike action over Easter.
In cuts branded “unfair” by staff, Virgin Atlantic air stewards’ base salaries will increase marginally while allowance benefits, which make up a third of their pay, will be halved. Angry staff say that under the regime they would have to dip into their own pockets to pay for basic food and drinks at the “plush” hotels booked by the company. The deal currently being offered, the airline crews claim, means that they will be earning below the minimum wage and that their annual allowances of around £7,500 will be cut in half.
It is also feared that the move could worsen Virgin Atlantic’s gender pay gap, as air stewards are more likely to be female, while most pilots – who will be unaffected by the move – are male.
Official figures show that the airline’s pay gap has widened, even though it is already one of the worst of any large British company. Last month it was revealed that the company’s pay gap increased from 28.4 per cent to 31 per cent in just 12 months.
Virgin Atlantic denied the claims and insisted that no one would end up being paid less than the minimum wage.
The firm recruits its hostesses and cabin crew to front its media campaigns as “the face of the airline”. But staff allege that Virgin’s recent relaxation of make-up rules for female staff was a “smokescreen” by Sir Richard, chairman and founder of the company, to create a positive image before a possible mutiny by staff over pay.
A source in the workforce complained: “Even though we keep getting told we’re doing a great job and meeting targets and even bettering them so we’re boosting the reputation of the company, we’re not being shown that in kind with pay. We’re one of the worst paid cabin crew in the UK.”
The Daily Telegraph understands that cabin crews are threatening strike action, which could jeopardise Easter holiday plans and leave tens of thousands of passengers stranded.
It comes amid allegations that some senior crew – members of Unite who are set to benefit from the pay proposals – are “bullying” and “harassing” their more junior colleagues into agreeing to them, and that the new plans could lead to the airline company saving millions of pounds in taxes.
The source said that cabin crews were reaching “boiling point”.