Digital Edition of latest supplement

View the handbook

BALPA staff strike over DB closure - updated

The GMB suspended industrial action against the British Airline Pilots’ Association this afternoon following talks.

The GMB said it would discuss the new proposals regarding Balpa’s defined benefit pension scheme with its members.

The revised offer is based on the pensions offer already made but adds a third year to the pay settlement, which could mean an RPI plus 1pc increase – capped at 5pc – with effect from January 1, 2010.

But Balpa said this offer was on the proviso that if subscription income falls below a certain level then this would be reduced to RPI plus 0.5pc and capped at 5pc.

Balpa general secretary Jim McAuslan said: "I am pleased that we have been able to agree a way forward. We now need to focus all our attention on meeting the challenge of the turmoil in the aviation industry and building a strong union to protect and promote our members."

Earlier today 33 Balpa workers and members of GMB went on strike outside Heathrow after negotiations failed.

McAuslan said Balpa had been extremely disappointed that GMB had proceeded with the strike.

The GMB said this morning’s strike followed "intensive negotiations" and an 85pc vote for strike action over imposed changes that were detrimental to Balpa’s DB scheme.

GMB spokesmen Dave Kent said: "The strike is rock solid and demonstrates that our members are firm in their determination to secure a just settlement. As a trade union Balpa, has quite rightly, fought long and hard to protect the final salary pensions of its pilot members in British Airways and other airlines.

"The pilots’ trade union is now seeking to close its own final salary pension to new entrants and to impose drastic changes to pension benefits for existing staff. There is no economic justification for these changes."

This is the first time in Balpa’s history that it has faced industrial action from its own staff.

The union currently has a pension deficit of £4.6m – the equivalent to £100,000 per member of staff.

Comment on this story

There aren’t any comments for this article yet

Login to add a comment

Need to register? Click Here

Latest Professional Pensions jobs
 

IMAGE: Professional pension latest issue cover
Click here to register for your free weekly copy of Professional Pensions, the leading purely institutional pensions title in the UK