About 16,000 workers at British Airways are to receive a pay rise worth as much as 13%, reversing cuts imposed during the Covid pandemic.
Union leaders said the deal arose after the threat of strike action earlier this summer by check-in staff, which resulted in a pay agreement that was being extended across the workforce.
It is understood that the deal will apply to about 16,000 non-management workers across the company, including cabin crew, engineers and baggage handlers, helping to restore pay to 2019 levels after the airline cut staff wages when the pandemic grounded flights around the world.
The prospect of industrial action was averted in July after about 500 workers represented by the Unite union – mostly check-in staff employed by BA at Heathrow – accepted the deal.
The pay agreement is broken up into several parts, with workers due to receive a lump sum worth 5% of their wages in August. Staff will then receive a consolidated 5% pay rise in September and a further 3% consolidated increase in December. Unite said this represented a “13% pay rise” overall.
Sharon Graham, the union’s general secretary, said: “By standing strong with Unite, our members have compelled BA to table a pay rise that goes toward compensating for the pay cuts suffered during the pandemic.
“There is still some way to go for workers at BA to trust this company again, given the hostile manner they conducted themselves during the pandemic. Once again, Unite’s focus on improving jobs, pay and conditions has delivered for our members.”
UK workers are coming under mounting pressure from living costs, with the Bank of England forecasting that inflation will hit more than 13% later this year fuelled by a fresh rise in energy bills this October.
Wage growth across the economy has risen this year against a backdrop of low unemployment and record job vacancies, with employers grappling with shortages of staff in several sectors. Unions are also pushing for bigger pay increases amid soaring inflationary pressure.
However, average pay growth across the economy is failing to keep pace with the highest levels of inflation for 40 years.
A spokesperson for British Airways said: “We’re pleased with this outcome.”